Write a report on analyzing the need and importance of financial and cost analysis titled “Financial analysis of [Name of Selected Organization]’. You are required to select a similar type of company for financial statement analysis. In your report, you must also discuss the concept of the time value of money concept and how the concept be applied and interpreted for efficient financial decisions. Your report must be unified and coherent. It must not exceed 3200-3500 words. To successfully complete this assignment, you must:

1. Calculate the following ratios for the selected company and compare them with those of similar types of business You must: (A) Discuss the importance ratio analysis. (B) Calculate the profitability, liquidity, solvency, and efficiency ratios for selected companies.

2. Discuss the interpretations of ratios. You must: (A) Discuss the Interpretations of the ratios calculated in 1.1. (B) Comment on the performance of a similar company.

3. Understanding the concepts of the time value of money (2.1) (12.5 Marks) You must: (A) Understand the concepts of future values and present values. (B) Discuss three major factors affecting the time value of money.

4. Understand the four classes of time value problems. (2.2) (12.5 Marks) You must: (A) Understand the calculations of future value, the present value of an annuity and annual growth rates (B) Understand calculations of simple interest, compound interest, and loan amortization.

Answer rating: 100% (QA)

Executive Summary Every business must do a financial ratios study with the most important ratios being profitability liquidity gearing and activity or ratios Profitability ratios are used to determine ... View the full answer