The Financial Detective

National College of Business and Arts Fairview, Quezon City

The Financial Detective

(A Case Study in Financial Management) Submitted By: De Castro, Kenneth Michael Acaso, Marilou Almonte, Poneve Cantor, Rachelle Salmorin, Princess Submitted To: Ms. Adalia Bringas October 19, 2009

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Brief Background:

The financial statements of no two companies are alike. External factors that affect such differences are the nature of the industry in which the company belongs, and the financial norms and standards that govern in each industry. In addition, the internal factors are also considered such as the management’s philosophy and operating style and its attitude towards achieving certain goals. Moreover, business strategies are also a key factor in analyzing such financial, as well as non-financial differences between companies. Lastly, the social perspective should not be taken for granted. The presence of good customer relations and a sense of social responsibility add up in building company goodwill which will in turn contribute to the operations of the entity as a whole.

II. Case Objective:

Given the common sized financial statements of each company in each industry, the objective is to match the financial data with the company descriptions. Exhibit 1 shows the financial statements, as well as the financial ratio analysis of each company. The professor will be given a copy of the case study to provide her with the company descriptions which will be serve as a basis for the analysis of financial data.

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Exhibit 1 – Common Sized Financial Statements (Financial Position)

Health Products "A" "B" Percentage of Total Assets Current Assets: Cash and Cash Equivalents Receivables Inventory Other Current Assets Total Current Assets Noncurrent Assets: Net Property, Plant and Eqpt. Other Assets Total Noncurrent Assets Total Assets Current Liabilities: Accounts Payable Other Current Liabilities Total Current Liabilities Noncurrent Liabilities: Long-term...