Export Finance
EXBUFIN
Export Finance
EXBUFIN
TXM01
TH 18:00-19:30 B410
TXM01
TH 18:00-19:30 B410
5/23
Financial Statement (F/S)
Balance Sheet : B/S (대차대조표) 어느 일정 시점에서의 재정상태(Financial Position)을 나타내고있다.
자산(Assets)과 부채(Liabilities) 그리고 자본(Owner’s Equity)
Assets=Liabilities +Owner’s Equity | Beginning Inventory | + | Inventory Purchases | | Cost of Goods Manufactured | - | Ending Inventory | | Cost of Goods Sold |
Income Statement : P/L (손익계산서) 일정 기간의 경영성적(Operation Results)을 나타내고있다. 수익(Revenues)과 비용(Expenses) 그리고 당기순이익(Net Income) Net Income=Revenue-Expenses | Operating Income | - | Interest Expenses | | Income before Tax | - | Tax | | Net Income After Tax |
Statement of
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How liquid is the firm? Will it be able to pay its bills as they become due * Liquidity Ratios 2. How has the firm financed the purchase of its asset * Capital structure ratio 3. How efficient has the firm’s management utilizing its assets to generate sales? * Asset management efficiency ratio 4. Has the firm earned adequate returns on its investment * Profitability ratio 5. Are the firm’s managers creating value for shareholder * Market value ratio
Liquidity Ratio * Liquidity ratios address a basic question: how liquid is the firm? * A firm is financially liquid if it is able to pay its bills on time * We can analyze a firm’s liquidity from two perspective * Overall or general fir liquidity * Liquidity of specific current asset account
Current Ratio=Current AssetCurrent Liability
Acid Test(Quick Ratio)=Current Asset-InventoryCurrent Liability
Cash flows from operation NIAT Dep A/R Inv A/P ---- Total Cash flow from Operation Activity
Cash flows from Investment FA(Gross) Other
As you can see from this mock Balance Sheet of our business, it (1) has enough assets to pay our debts when they are due, and (2) the claims of short and long-term creditors on
The liquidity of firm can be measured by computing certain ratio’s such as current ratio and acid ratio. For measuring Target Corporation’s 2014 liquidity; the firm’s current ratio and the acid ratio is computed. The company’s current ratio is 0.91 times which is computed by comparing current asset ($11, 573,000) with current liabilities ($12,777, 000) of the year 2014 (TGT Company Financial, n.d). The firm’s acid ratio is 0.26 times which is computed by deducting inventory ($8,278,000) from current assets. The inventory is deducted from current assets because the company has not received any money for the unfinished good or from unsold inventory worth ($8,278,000). To analyze the Target Corporation’s liquidity trend in 2014; the current ratio and acid ratio of 2014 is compared with the 2015’s ratios. In 2015, the firm’s current ratio was 1.20 times and the acid ratio was 0.45 times. These liquidity ratios reflect that the firm’s liquidity was better in 2015 than 2014. (See Table 1).
37. A company is said to be liquid if it has sufficient cash to pay currently maturing debts.
* The company has sufficient liquidity to finance ongoing operations without taking on additional debt.
Liquidity represents a company’s ability to pay its short-term obligations. In the following schedule is the calculation of the ratios that are indicators of the liquidity position of a company.
Liquidity ratios measure the ability of a firm to meet its short-term obligations. A company that is not able
Liquidity In analyzing liquidity of the company, the current ratio is not very telling of a falling company. The company increased its ratio throughout the period of the income statement thus building upon its company assets and allowing for a 6-1 ratio of assets over its liabilities. This implies the company is still able to operate sufficiently even though it did not make its optimum current ratio of about 8-1. However, when one takes the inventory out of the equation with the quick ratio, the numbers show the true strength of short term liquidity. The numbers are still good, and do not indicate failure – but are
Liquidity is an important factor in financial statement analysis since an entity that can not meet its short term obligations may be forced into liquidation. The focus of this aspect of analysis is on working capital, or some computer of working capital.
With respect to the company's balance sheet, the company is in a decent financial position despite the losses. In terms of liquidity, the company has remained liquid
The liquidity position of a company can be evaluated using several ratios which evaluate short-term assets and liabilities and a firm’s ability to settle short-term debts (Gibson, 2011). These ratios can provide insight into a firm’s ability to repay its debts in the short term (Gibson, 2011). In turn they suggest a firm’s capacity for debt-satisfying capabilities into the future (Gibson, 2011). This paper will use financial statement data as cited in Gibson (2011) from 3M Company (3M) to better understand liquidity measures to evaluate a firm’s total liquidity position. The following paper will focus on various liquidity calculations, their meaning, and their interpretation relative to 3M. Finally, an overall view of 3M’s liquidity
The most important is Enterprise value/EBIDTA. Helps to estimate the offer of KKR, inc and gives the answer to Question N4. (See the following table)
In comparing the companies to each other it is important to take into account the liquidity or ability of a firm to meet its current obligations, and solvency
Furthermore, if an organisation does not have enough cash resources in order to settle its current liabilities, this will highlight great inefficiency with stock turnover not being sold. A good company such as Sainsbury’s we see is healthy because revenue is recognised from inventories sold – this revenue allows cash to flow in order to pay for short term and long-term liabilities. It is evident that there are insufficient cash flowing into the company from investing activities and financing activities, which are shown by the brackets.
The first Indication of financial distress is when firm does not have enough liquid assets (short-term assets) to cover (pay for) current
And the company is suffering from liquidity challenges because it is not in a position to finance its day-to-day activities, so its bank account stands over drawn. This situation has impacted negatively on the company's ability to repay its earlier loans and customers are upset because of delayed delivery.