Recast Financial Statement

Return on equity tells you how effectively a company is using the dollars invested in it by stockholders. ROE is the most often quoted single statistic when describing a firm 's performance. It is also one of the statistics considered to be most useful by stockholders.

The gross profit ratio indicates that Next plc was able to maintain their gross profit. It has decreased insignificantly by 0.05%. In 2011

J. Rate of return on common stockholder’s equity: The ratio of return on common stockholder’s equity measures rate of return on the interest of ownership for the common stock owners. Company G’s rate of return ratio diminished (20.20% down to 18.46%). Although percentage decreased does not represents a negative, compared to quartile benchmarks of 12.80% and 16.30%. Rate of Return on Common Stockholder’s Equity

Good Day Mr. Masterson, I have completed a detailed analysis using the financial statements you have provided me to help determine if Smith Enterprises would be a good long-term investment for you. First, I have created a vertical analysis in which is a tool that allows me to compare the company’s financial condition and performance to a base amount. With this, I can then analyze in depth any potential success you could gain through investment in Smith Enterprises. This is an extremely useful benefit as I can view in detail the percentage of total assets Smith Enterprises inquires on a yearly basis, as well as their percentage of sales on a yearly basis. While the yearly outcome is indeed important, I will reassure you that a visual of the

Good Day Mr. Masterson, I have completed a detailed analysis using the financial statements you have provided me to help determine if Smith Enterprises would be a good long-term investment for you. First, I have created a vertical analysis in, which is a tool that allows me to compare the company’s financial condition and performance to a base amount. With this, I can then analyze in depth any potential success you could gain through investment in Smith Enterprises. This is an extremely useful benefit as I can view in detail the percentage of total assets Smith Enterprises inquires on a yearly basis, as well as their percentage of sales on a yearly basis. While the yearly outcome is indeed important, I will reassure you that a visual of

Return on Total Assets was 4.43% which is below five percent. That indicates that the company is not accurately converting its assets into profit. The total for Return on Stockholders’ Equity was 8.89%, however financial analysts prefer ROE to range between 15-20 %. The company’s low ROE indicates that the company is not generating profit with new investments. Lastly, Debt-to-Equity ratio for the company was 1.01 which indicates that investors and creditors are equally sharing assets. In the view of creditors, they see a high ratio as a risk factor because it can indicate that investors are not investing due to the company’s overall performance. The totals of these three ratios demonstrate that the company’s financial state is not as healthy as it should be.

Kodiak Energy, Inc. Restatement of Financials. (2009, March 17). Marketwire: press release distribution, newswire, public relations,investor relations, breaking news, media monitoring. Retrieved June 15, 2012 from http://www.marketwire.com/press-release/Kodiak-Energy-Inc-Restatement-of-Financials-TSX-VENTURE-KDK-962647.htm

So while the company increased its net income, it has done so with diminishing profit margins.

Rate of Return on equity measures a corporation 's profitability by revealing how much profit a company generates with the money shareholders have invested. It indicates how efficiently the business uses its investment funds. For Tesco, Rate of Return on Shareholders’ Fund has increased from 13.85% in 2004 to 14.91% in 2009. This shows an improvement of 1.06% in five years period. When one examines the Sainsbury’s Rate of Return on Shareholders’ Fund, there is an increase from 7.76% to 8.36%. There is a 0.6% growth in the Rate of Return on Shareholders’ Fund. In comparison with Tesco, Sainsbury’s Rate of Return on Shareholders’ Fund is lower. Shareholders earned 13.85% from their investment (measured in book value

Cost of Equity is the return that stockholders require for a company. A company’s cost of equity represents the compensation that the market demands in exchange for owning the assets and bearing the risk of ownership. Based on capital markets the cost of equity varies in direct relation to the assumed risk in that specific market. The distinctive of the firm is the sensitivity to market risk (β) which depends on everything from management to its business and capital structure. Therefore past performances and present conditions have a direct effect on the overall value. Applying calculations at a divisional level allows specified markets to be analysis based on present market conditions for that service or product. The formula used to calculate Cost of Equity is:

Profitability ratios are basically figures to measure if the company is doing well in the terms of profit[13]. ROCE ratio has increased in 2011 but in 2012 it deteriorates by 3%. This fall indicates that company was not successfully getting high returns as a percentage of its resources available, compared to 2011.

The return on equity, ROE, is as high as 20.69% (above 15%). It illustrate that the RL Corporation uses the investors’ money pretty effectively. As of return of assets, equals to 13.10%, which reveals how much profit a company earns for every dollar of its assets. Both ROE and ROA for RL Corporation seems really good and they provide a picture that managers are doing a good job of generating return from shareholders’ investments.

The aim of the following report is to assess the financial activity of Britvic PLC over a sixty months period, from January 2005 until December 2009, in order to make recommendations for a future investment in the company.

The purpose of this report is comprehensive quantitative analysis for the financial performance of Barclays Bank. Quantitative analysis is an important method of looking beyond the numbers and understanding the stories they tell. It is quantitative analysis that gives way to qualitative analysis and allows us to gauge the running of a business better. Quantitative analysis is key towards improving our understanding of the relationships that may exist among key financial variables or key factors influencing the performance of a firm. The application of quantitative analysis towards business performance is a key method of identifying problems that may hinder the growth of the business and tackle their root cause.

The results of the company’s return on assets ratio measuring profitability overall was 7.2% in 2010 and 8.1% in 2011 having an increase of 0.9%. Return of common stock ratio that portrays the