Scribd Logo
Upload

Welcome to Scribd!

  • 351 views

    Quiz - Horizontal Analysis

    Uploaded by

    Quenie De la Cruz
    The document provides comparative financial statements for SHARP Corporation for the years ending December 31, 2016 and 2015, including: 1) Comparative statements of financial position showing increases in total assets from P200,000 to P225,850 thousand and decreases in total liabilities from P115,600 to P93,450 thousand. 2) Comparative income statements showing an increase in total income from P129,600 to P131,000 thousand but a decrease in net income after taxes from P75,208 to P71,866 thousand. 3) Instructions to perform a horizontal analysis of the comparative statements and provide an analysis, conclusion, and recommendations.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd

    Quiz - Horizontal Analysis

    Uploaded by

    Quenie De la Cruz
    351 views2 pages
    The document provides comparative financial statements for SHARP Corporation for the years ending December 31, 2016 and 2015, including: 1) Comparative statements of financial position showing increases in total assets from P200,000 to P225,850 thousand and decreases in total liabilities from P115,600 to P93,450 thousand. 2) Comparative income statements showing an increase in total income from P129,600 to P131,000 thousand but a decrease in net income after taxes from P75,208 to P71,866 thousand. 3) Instructions to perform a horizontal analysis of the comparative statements and provide an analysis, conclusion, and recommendations.

    Original Description:

    Financial

    Copyright

    © © All Rights Reserved

    Available Formats

    DOCX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    The document provides comparative financial statements for SHARP Corporation for the years ending December 31, 2016 and 2015, including: 1) Comparative statements of financial position showing increases in total assets from P200,000 to P225,850 thousand and decreases in total liabilities from P115,600 to P93,450 thousand. 2) Comparative income statements showing an increase in total income from P129,600 to P131,000 thousand but a decrease in net income after taxes from P75,208 to P71,866 thousand. 3) Instructions to perform a horizontal analysis of the comparative statements and provide an analysis, conclusion, and recommendations.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    351 views2 pages

    Quiz - Horizontal Analysis

    Uploaded by

    Quenie De la Cruz
    The document provides comparative financial statements for SHARP Corporation for the years ending December 31, 2016 and 2015, including: 1) Comparative statements of financial position showing increases in total assets from P200,000 to P225,850 thousand and decreases in total liabilities from P115,600 to P93,450 thousand. 2) Comparative income statements showing an increase in total income from P129,600 to P131,000 thousand but a decrease in net income after taxes from P75,208 to P71,866 thousand. 3) Instructions to perform a horizontal analysis of the comparative statements and provide an analysis, conclusion, and recommendations.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 2

    ROMBLON STATE UNIVERSITY

    Odiongan, Romblon

    COLLEGE OF BUSINESS AND ACCOUNTANCY


    Financial Analysis & Reporting

    Name Date Rating


    Course Year Time Score

    I. HORIZONTAL ANALYSIS OF COMPARATIVE STATEMENTS

    Concept Application:

    SHARP Corporation
    Comparative Statements of Financial Position
    December 31, 2016
    (in Thousand pesos)
    Increase (decrease)
    2016 2015 AMOUNT PERCENT
    Assets
    Current Assets
    Cash & Cash Equivalent P 24,890 P 2,120
    Held for Trading 10,000
    Trade & Other Receivables 16,000 6,000
    Inventory 8,960 10,600
    Total Current Assets P 59,850 P 18,720

    Non-Current Asset
    Property, Plant & Equipment P 150,000 P 161,280
    Intangibles 16,000 20,000
    Total Non-current Asset 166,000 181,280
    TOTAL ASSETS P 225,850 P 200,000

    Liabilities and Shareholders’ Equity


    Current Liabilities
    Trade & Other Payables P 8,400 P 3,350
    Unearned Revenues 10,600 11,650
    Notes payable – current 900 600
    Total current liabilities P19,900 P15,600
    Non-Current Liabilities
    Notes Payable-non-current 73,550 100,000
    TOTAL LIABILITIES P 93,450 P 115,600

    Shareholders’ Equity
    Ordinary Shares, P100 par 80,000 60,000
    Premium on Ordinary Shares 16,000 10,000
    Total paid-in-capital 96,000 70,000

    Retained Earnings 36,400 14,400


    TOTAL SHAREHOLDERS’ 132,400 84,400
    EQUITY
    TOTAL LIABILITIES &
    SHAREHOLDERS’ EQUITY P 225,850 P 200,000

    SHARP Corporation
    Comparative Income Statements
    For the years ended December 31, 2016 & 2015

    Increase (decrease)
    2016 2015 AMOUNT PERCENT
    Sales P 480,000 P 400,000
    Less: Cost of good sold 364,000 280,000
    Gross Income 116,000 120,000
    Add: Other Income 15,000 9,600
    Total Income 131,000 129,600
    Less: Other Expenses 12,400
    Finance Costs (Interest) 14,400 19,000
    Total Expenses 26,800 19,000
    Net Income before taxes 104,200 110,600
    Less: Income Tax 32,334 35,392
    Net income after taxes 71,866 75,208

    In your Analysis you will use the following format:

    1. On Horizontal Analysis:
    1.1 Horizontal Analysis Computation
    1.2 Analysis and interpretation of your findings
    *Liquidity & Solvency
    *Stability or Long-term Financial Position
    *Operating Efficiency and Profitability
    1.3 Conclusion
    1.5 State your recommendations

    You might also like