In this module, you will use the the attached file to analyze Lululemon's financial statements for the most recent three year period. This includes income statement, balance sheet and cash flow. For this assignment you will develop a slide deck with presenter notes for Lululemon's financial situation. This teaching is to prepare you to develop a financial analysis presentation.

Assignment #1 Interpret the balance sheet, income statement and cash flow statement for LuLu Lemmon

Heres is a snapshot of how to analyze and interpret the

- Balance Sheet

- Income Statement

- Cash Flow Statement

The attached file will give you more guidance.

1. Balance Sheet

The balance sheet tells you about the net worth and health of a company.

What assets does the company own (Assets)

and Where did the money for those assets come from (Liabilities)

1.1 What to look for?

1) Cash & Equivalents Position

2) Relation of Debt and Equity

3) Retained Earnings Position

1.2 What You want to see (Rule of Thumb):

1) Cash-to-Current Liabilities Ratio > 1

2) Debt-to-Equity Ratio > 2

3) Retained Earnings-to-Total Assets > 40%