This website uses cookies to ensure you have the best experience. Learn more

Accounting Financial Ratio Essay

2891 words - 12 pages

TABLE OF CONTENTList of headingPage No.Overview of Just Group Limited2Overview of Housewares International Limited 4Ratio Analysis5Profitability Ratios 7Asset Efficiency Ratios9Liquidity Ratios 10Capital Structure Ratios11Market Performance Ratios13Conclusion15List of References16Just Group Limited (JG)Overview of JG limitedJust Group is dealing with retail apparel chains. Major brands of it include Just Jeans, JayJays, Dotti, Portmans, Jacqi-E and Peter Alexander ( These brand contributed sales of $698millions by the year 05-06. It has 775 stores across Australia and New Zealand as well as 5 stores in South Africa ( Now a day this group has members of 500000 with it.Just Group Limited is an innovative market leader in the readymade garments. Listed on the Australian Stock Exchange.. Since its establishment, Just Group has maintained rapid growth proving it to be a dynamic and significant force in the Australia. It is such a company who has provided different garments to different people so that it can be able to fulfill needs of the market. it is also providing very good customer service by having members of 500000 in its group. With the help of this numbers it is able to become the leader of the market in not only Australia but also in New Zealand and South Africa. It has also introduced few new ranges of jeans in this year.Just Group is one of the most profitable readymade garments companies in Australia as well as one of the successful companies in market.The Just Group has undertaken significant expansion in recent times to achieve the goal of developing an infrastructure based full-service in the market. There are numerous entities which form part of the Group. The emphasis is on a range of brands that provide diversification through breadth of target demographic and sufficiently broad appeal to enable a national footprint. It sales about 90% of its products on its own name. It also spends lots on resource and development to target market and to also to maintain existing once. This investment includes national advertising campaigns and over five kilometers of store window displays, most of which are updated every two weeks.( Net profit after income tax for the year ended 29 July 2006 was $57.2 million (2005: $45.9 million), which reflects a 24.6% increase compared to last year. In the 12 months to 29 July 2006 EBITA (earnings before interest, tax and amortization) increased by 21.2% to $88.3 million (2005: $72.9 million).The Group is highly cash generative, which allows the payment of strong dividends, continuous investment in the company and the ongoing repayment of debt. Total capital expenditure for the year was $25.4 million (2005: $19.6 million). The company has a sound capital structure. Net debt as at 29 July 2006is less than the company's EBITDA for the year ended 29 July 2006 and all debt covenants have been satisfied throughout the year. The Group has sufficient...

Find Another Essay On Accounting Financial Ratio

Capitalizing the costs of developing a software program for sale

1272 words - 5 pages . Retrieved from, Accounting For Management. (2011). Return on Shareholder’s investment or net worth ratio. Retrieved from, Kennon, J. (2012). Return on assets (ROA). Retrieved from,

Adjustments for Financial Reporting

1329 words - 6 pages and if there might be issues that may require adjustments entries. Distinguished: What are the consequences of not making all of the required adjustments at the end of the accounting period? If the adjustment entries were not entered at the end of an accounting period, the company’s financial information would be inaccurate. The company would be misstating their financial standing and misleading it investors based on overstated income and assets

Statement of Cashflows

1069 words - 4 pages ) Accounting (6th ed.). Upper Saddle River, NJ: Pearson Prentice Hall.Target Corporations Financial Statements Retrieved March 12, 2007. From Ratio Dictionary Retrieved March 13, 2007. From

Ford Motor Company, Microsoft and Exxon - working capital, current ratio, and quick (acid-test) ratio

1316 words - 5 pages ExxonMobile.The current ratio is equal to current assets divided by current liabilities. It is used to measure the ability of an enterprise to meet its current liabilities out of current assets (Shim, Siegel, 1999, p.276). The limitation of the ratio is that it may rise just prior to financial distress because of a company's desire to improve its cash position by, for example, selling fixed assets. Such dispositions, while resulting in a more

Analysis of Insurance Financial Statements

1806 words - 7 pages The Underwriting Expense Ratio measures efficiency by comparing the amount of losses incurred while making a sale and issuing a policy to the amount of premiums for all policies sold in a certain accounting period. It calculates the percentage of written premiums that go toward paying expenses associated with a new policy before any claims are paid out. The smaller the numerator (underwriting expenses), the lower the ratio. Therefore, by

Wal-Mart Financial analysis

1079 words - 4 pages inventory is almost immediately convertible into cash, so the Quick Test Ratio does not apply to it. The retailer has achieved a hefty average return on equity of about 22% in the past five years. Although the company is operating on net margins of less than 5%, it has made fortunes for its shareholders. The low Financial Leverage signifies that Wal-mart has not taken on a lot of financial risk.International Manufacturing Company - SonySony

"Accounting as a discipline has no theory". Critically evaluate this statement and provide examples to illustrate your argument

1993 words - 8 pages at least, of a financial character and interpreting the results thereof". (Ahmeo Riahi-Belkaou, page 32) Accounting is said to be a language used to communicate information to people. Accounting is also an intellectual discipline and a profession. Moreover, accounting is socially constructed and practiced by people for people, which influence workings and relationships in society.The history of accounting stretches back to when the first ancient

Financial Analysis on Colgate

2368 words - 9 pages RatiosConclusionAbstract:A financial statement is a collection of data organized according to logical and consistent accounting procedures. Its purpose is to convey an understanding of some financial aspect of a business firm. Financial analysis (also referred to as financial statement analysis or accounting analysis) refers to an assessment of the viability, stability and profitability of a business, sub-business or project. It is performed by professionals who

Choose a bank of your choice and manage and explain the various types of ratios

1834 words - 7 pages upto Rs 25 lakhs has enabled the bank to improve its financial performance.(The United Western Bank Ltd, 67th Annual Report, 2003 - 2004)RATIO ANALYSISI.) LIQUIDITY RATIOA) CURRENT RATIO = Current assets / current liabilitiesCurrent Assets = Cash and Balances with RBI + Balances with banks + Investment +Advances= 357,18,09 + 283,45,82 + 2413,12,42 + 3744,46,59= Rs. 679,822,92/-Current Liabilities = Other Liabilities and Provisions + Demand

See How Nice

961 words - 4 pages Introduction This week discussion introduces the accounting policies and principles as it applies to lease as well as accounting treatments of Research and development, intangible assets, brand and goodwill. These areas of financial reporting have generated controversies regarding how accounting standard should be applied. To address some of the controversy The International Accounting Standard Board (IASB) and the Financial Accounting Standard

Accounting Case Writing: Wellness Fitness Ltd

1302 words - 5 pages To: John ClaytonFrom: ControllersRE: Recommended accounting policies in light of new business plans and lending conditionsROLE: Accounting controllers hired to assess 2014 financial statements to advise on appropriate accounting policies due to changes in business plans and new lending conditions.USERS: As Wellness Fitness Limited's (WFL) CEO, you want to maximize net income and shareholders' value. The two external shareholders are users who

Similar Essays

Managerial And Finanical Accounting Report

605 words - 2 pages flow analysis, break even analysis, budgeting, and financial ratio analysis. Management accounting can be used to plan for the future by understanding how economic events affect the business (Bromwich, 1988). Managers can evaluate the state of the business by looking at efficiency, and analyzing costs.There are several ratios which are useful to managers. Liquid ratios measure the company's ability to meet obligations using available assets

Financial And Operating Lease Transactions As Tools In Financial Risk Assessment

1228 words - 5 pages (Kilpatrick and Wilburn, 2011; Graynor et al., 2010). Seay and Woods (2011) also pointed out that financial statement in new accounting standard would provide users with more accurate information on company liabilities and future cash flows, and it would be more readily determinable for creditors. Besides, the leverage ratio of a corporation would become more “stability” and “healthy” when operating leases are accounted(Hines, 1991). Hence, in

Ratio Analysis

1443 words - 6 pages Ratio Analysis Ratio analysis is a process of determining and presenting the relationship of items and groups of items in the financial statements so as to provide information to the financial statements in a concise form. In the words of Myres, “ Ratio analysis is largely a study of relationship among the various financial factors in a business as disclosed by a single set of statements and a study of the trend of these factors as shown in a

Financial Statement Analysis

1320 words - 5 pages Corporation. Retrieved May 16, 2009, from,ticker__TM--/free-co-fin-factsheet.xhtmlInvestopedia. (2009). Financial Leverage. Retrieved May 17, 2009, from, Steven C. (1998). Financial Analysis with the Dupont Ratio: A useful compass. BNET, (), . Retrieved May 16, 2009, from,ticker__TM--/free-co-fin-factsheet.xhtml database.University of Phoenix. (2008). Introduction to Management Accounting . Retrieved May 8, 2009, from University of Phoenix, Week One, ACC561- Accounting.