Access the 2012 annual report for Dr. Reddy's Laboratories Limited, which is a company incorporated in India and listed on the NYSE. Answer the same questions as in Problem 1. For each question, indicate where in the financial statements you found the answer, and/or provide a brief explanation.
In Problem 1
(a) In what currency are the financial statements presented?
(b) GAAP from what country or jurisdiction was used in preparing the financial statements? See the notes to the financial statements.
(c) Is there a reconciliation of net income as reported to net income under U.S. GAAP? If so, identify the three major differences. If not, explain why the reconciliation was not provided.
(d) Calculate the current ratio for each of the last two years. Did the liquidity position of the company improve or weaken during the year? Briefly explain.
(e) Calculate the total debt to equity ratio for each of the last two years. Did the solvency position of the company improve or weaken during the year? Briefly explain.
(f) Did income increase or decrease from the previous year? What item on the income statement had the biggest impact on the change in income?