Accounting. Blackmores Limited

1. Member Board of Directors – Each Director serves for three-year terms and may be reelected. There are 21 members currently serving on the Board.

The Board of Directors consisted primarily of Gerry Wiegert, John Pope, and Barry Rosengrant. Gerry was the President, so it was typical for him to be a part of the board. John Pope was a financial consultant; therefore, he was adequate to be the financially literate person on the board. Barry was in real estate, but he was a consultant of Vector Car which gave him some knowledge of the company. Dan Harnett and George Fencl were also a part of the board for some point of time; they also had adequate knowledge to be capable additions to the board with their knowledge of law and

Once again both companies have seen a reduction in this ratio over the past two years, meaning that the company were less effective in ’generating sales from [it’s] assets’. (Leopold, A et al, 1999, 249).

Because the Board of Directors only meets four times a year, the day-to-day operations are managed by a Chief Executive Officer. The CEO has appointed five Chiefs as his

Debt ratio percentages increased for Company G from 28.34% to 29.94%. Industry quartile is 30, 45 and 66 percent, putting Company G below average. Debt Ratio represents strength for Company G.

Increase in current liabilities Substantial increase in current liabilities weakened the company’s liquidity position. Its current liabilities were US$2,063.94 million at the end of FY2010, a 48.09% increase compared to the previous year. However, its current assets recorded a marginal increase of 25.07% - from US$1,770.02 million at the end of FY2009 to US$2,213.72 million at the end of FY2010. Following this, the company’s current ratio declined from 1.27 at the end of the FY2009 to 1.07 at the end of FY2010. A lower current ratio indicates that the company is in a weak financial position, and it may find it difficult to meet its day-to-day obligations.

Cash flow from operations to total liabilities ratio for 2010 is 15.1% and for 2009 is 11.7%. Financially healthy company has cash flow from operations to total liabilities ratio of 20% or more. Dollar General has a high long-term liquidity risk. Interest coverage Ratio for 2010 is 3.6 and for 2009 is 1.6. A high fluctuation makes the company risky, although it exceeded a 3.0 benchmark in 2010 it should show this stability over time.

Blackmores，the leader of Australian pharmaceuticals with over 80-year history, keeps focusing on natural health care and becoming the first choice of the public. This essay will discuss the financial condition by analyzing the annual reports of Blackmores in the period from financial year 2010 to financial year 2012. It will be demonstrated by focusing on financial statements analysis, financial statements comments and comparison with Mcksson.

Blackmores Limited is an industry leader in both natural health and research, basing its principle activity on the development and marketing of health products and natural supplements; and it has been an industry leader in Australia for more than 70 years. The Company had its beginnings in the 1930s. The company currently has over 150 products, catering for all areas in natural health and vitamins.

The company’s debt ratios are 54.5% in 1988, 58.69% in 1989, 62.7% in 1990, and 67.37% in 1991. What this means is that the company is increasing its financial risk by taking on more leverage. The company has been taking an extensive amount of purchasing over the past couple of years, which could be the reason as to why net income has not grown much beyond several thousands of dollars. One could argue that the company is trying to expand its inventory to help accumulate future sales. But another problem is that the company’s

Liquidity ratio. The firm’s liquidity shows a downward trend through time. The current ratio is decreasing because the growth in current liabilities outpaces the growth of current assets. The quick ratio is also declining but not as fast as the current ratio. From 1991 to 1992, it only decreased 0.35 units while the current ratio decreased 0.93 units. Looking at the common size balance sheet, we also see that the percentage of inventory is growing from 33% to 48% indicating Mark X could not convert its inventory to cash.

The financial information used for this report was obtained from the company’s annual reports to shareholders and data downloaded from DatAnalysis premium and IBISWorld. The last four years of data was use in the report to analyse Blackmores’s capital structure and leverage policy.

Staples’ Board of Directors is made up of one internal employee, Staples’ current CEO Ronald Sargent, with the remaining members being external and independent directors. The board consists of the following members as seen in the chart below under Appendix A.

Lawsons 2010 and 2011 current ratio are above the industry average (1.8:1) however in 2012 the current ratio falls below the industry average at 1.55:1 and than again in 2013 to 1.02:1. This indicates that the company’s ability to pay its debts is

The financial statements included tend to combine cash and marketable securities into a category labeled “cash and cash equivalents”. If the cash ratio is recalculated using this value instead of simply cash than the ratio improves to 1.10, which shows much stronger liquidity capabilities.