Inefficient collection policy

 

Choose the company from the US market. (Slide 1: briefly company)
(If you wish you can choose the company from another country, but it should be IFRS reporting available).
2. Take the most recent financial statement available (10Q or 10K).
3. Perform complete financial statement analysis (DuPont + any additional ratios you have found useful). (Slide 5-6)
Hint: Look at Lecture 6. Do not forget to interpret ratios.
4. In case of any non-typical values in financial statement ratios, check the report, and try to find an explanation of those non-typical values.
5. Briefly check the evolution of the financial ratios of the company of your choice over time. Briefly discuss.

6. Briefly discuss competitors, compare financial ratios of the company of your choice – to the financial ratios of the competitors. Discuss any
significant differences. (Slide 1-2)
(DuPont analysis is crucial here for competitors, no need complete full financial analysis as for your main company)

7. Make a conclusion. Does the company improve the efficiency, profitability or any other aspects over time/in comparison to competitors? What are
the weak spots in company`s financial statements? Liquidity, excessive level of debt, inefficient cash management, inefficient inventory management,
inefficient collection policy? (Slide 1-2)

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