he purpose of this assignment is to analyze income statements and calculate ratios in order to summarize the financial performance of a company. The ability to analyze the content of an income statement, profit and loss statement, and statement of earnin

20200801042102company_review x20200801043611rubric_print_format_assignment_2.xlsx
 

he purpose of this assignment is to analyze income statements and calculate ratios in order to summarize the financial performance of a company.

Don't use plagiarized sources. Get Your Custom Essay on
he purpose of this assignment is to analyze income statements and calculate ratios in order to summarize the financial performance of a company. The ability to analyze the content of an income statement, profit and loss statement, and statement of earnin
Just from $13/Page
Order Essay

The ability to analyze the content of an income statement, profit and loss statement, and statement of earnings is an essential skill when assessing a company’s revenue and trends associated with the company’s financial performance.

Assume that the accounting manager has asked you to provide a summary presentation about the financial performance of the company over the past 3 years. You will be giving a 3-6 minute presentation of your findings to the accounting manager and other company stakeholders as part of a management meeting.

In the Form 10-K for the company you selected in the Topic 1 assignment, access the income statement (also called the profit and loss statement or statement of earnings) information and review it. Calculate the following ratios over the past 3 years for use in your presentation: USING EXCEL

  1. Gross profit
  2. Net profit
  3. Return on assets

Create a 5-8 slide PowerPoint presentation that summarizes your analysis and addresses the following:

  1. Based on actual dollars, discuss the company’s performance compared to the prior year. Explain how you can tell whether the company is performing better or worse, and highlight at least three items from the income statement that justify your assessment.
  2. Explain any changes or growth in the marketplace that have contributed to the company’s performance.
  3. Summarize the revenue trends for the company.
  4. Summarize company expenses and whether they are increasing or decreasing. Highlight at least two expenses and discuss the significance of the increase or decrease in each of the expenses over time.
  5. Provide the gross profit, net profit, and return on assets ratios for the past 3 years and discuss the significance of the results.

Using the PowerPoint you created, practice your presentation. Use Loom to record your 3-6 minute presentation for the management meeting.

Refer to the resource, “Creating Effective PowerPoint Presentations,” located in the Student Success Center, for additional guidance on completing this assignment in the appropriate style.

Refer to the topic materials for additional guidance on recording your presentation with Loom.

Submit the Excel file that contains the ratios and the Loom file that contains the presentation to your instructor.

While APA style is not required for the body of this assignment, solid academic writing is expected, and documentation of sources should be presented using APA formatting guidelines, which can be found in the APA Style Guide, located in the Student Success Center.

This assignment uses a rubric. Please review the rubric prior to beginning the assignment to become familiar with the expectations for successful completion.

3

Company Overview

Amber Scott

Grand Canyon University: ACC-502

July 29, 2020

Introduction

The fortune 500 company selected for the project is Apple, a technology company dealing with iPhone, Mac, iPad, home accessories, and wearables. This paper will provide an overview of Apple, describing relevant information about the company. Will also include the reports Apple uses between IFRS and GAAP. A form-10k and a press release is used to obtain the relevant information.

Company Overview

Apple is a company designing, manufacturing, and marketing PCs, wearables, smartphones, tablets, and sells various related services. Their product items are iPhone, Mac, iPad, Home and Accessories, and wearables. They sell a variety of services, including streaming options, iCloud, among other services. Competitors confront Apple in all its areas of business. Apple has competition from other companies selling PCs and mobile devices designed with other operating systems like windows and android and are at a lower cost. Their services also face competition from other companies that have established the same services as them and other business models providing content to end-users for free. Apple is located in the United States with it headquarter located in Cupertino, Calif. Its market ecosystem is at a global level (Apple Inc., 2019).

Supply of Apple products happens through network carriers (Verizon, Sprint, and others), retailers, wholesalers, and resellers. Apple also markets its products and resells third-party products in its market ecosystem directly to end-users, government, small-scale businesses, and enterprises, among others. The business cycles of apple rely on availability to third-party digital content, which is not constantly available. Apple’s future performance relies partly on third party programmers since they believe customer preference depends on the availability of third-party services and software. Services and products of apple are, at times, affected by defects associated with design and manufacturing. Since there is no assurance that the company can always detect the defect, this is marked as a risk (Apple Inc., 2019).

IFRS is based on principles, while GAAP is based on rues. The difference is manifested in the specific details in the Form-10k. Generally, IFRS gives fewer details compared to GAAP, hence Apple is utilizing GAAP or General Accounting Accepted Principles as it’s standard for financial reporting. GAAP can be identified in the form-10k as the financial statements provide follow the rules by U.S and exchange commissions (Apple Inc., 2019). Also, GAAP tends to deals with things such as balance sheets, revenue recognition, and classification of items that are available in the Form-10k provided by apple. IFRS, on the other hand, is a principle followed by the European Union and various countries in Asia.

Press Release, (2020), on 30th April 2020, Apple reported a revenue of 58.3 billion dollars in the second quarter, which was an increase with 1% from last year’s quarter. Global sales were recorded to be sixty-two per cent of the quarter’s revenue (Press Release, 2020). The increase in revenue was reported despite the unprecedented global challenge of Covid-19. The CEO reported that during the difficult time of Covid-19, apple products have been useful in assisting individuals to remain connected, productive, and informed. Apples CFO, Luca Maestri, indicated that Apple is satisfied in their future and that Apple will continue making important investments in their area of business so as to enrich their end-users and establish long-term strategies (Press Release, 2020).

Conclusion

Apple is among the fortune 500 company and is a technology company designing, manufacturing, and selling its products which include, iPhone, iPad, Mac, and various services. By using networks carriers like Verizon and Sprint assist helps with the distrubtion of just some of Apple products other retailers, wholesalers, and resellers also assist with disturbutions of Apple produts. Apple uses GAAP for reporting. Apple has a promising future and has performed well during the period of Covid-19.

References

Apple Inc. (2019, September). FORM 10-K (No. 001–36743). www.sec.gov. https://www.sec.gov/ix?doc=/Archives/edgar/data/320193/000032019319000119/a10-k20199282019.htm

Press Release. (2020, 10th July). Apple Reports Second Quarter Results. https://www.apple.com/newsroom/2020/04/apple-reports-second-quarter-results/.

Rubic_Print_Format

10.0%

10.0%

10.0%

10.0%

10.0%

5.0%

10.0%

5.0%

5.0%

Course Code Class Code Assignment Title Total Points
ACC-502 ACC-502-O500 Analyzing Income 95.0
Criteria Percentage Unsatisfactory (0.00%) Less than Satisfactory (74.00%) Satisfactory (79.00%) Good (87.00%) Excellent (100.00%) Comments Points Earned
Content 7

5.0%
Excel Ratio Formulas 10.0% Excel ratio formulas are not included. Excel ratio formulas for gross profit, net profit, and return on assets are incomplete or incorrect. Excel ratio formulas for gross profit, net profit, and return on assets are partially complete and correct. Excel ratio formulas for gross profit, net profit, and return on assets are mostly complete and correct. Excel ratio formulas for gross profit, net profit, and return on assets are complete and correct.
Company Performance 15.0% Discussion of company performance is not included. Discussion of company performance compared to the prior year, including three items from the income statement that justify the assessment, is incomplete or incorrect. Discussion of company performance compared to the prior year, including three items from the income statement that justify the assessment, is included but lacks explanation and relevant supporting details. Discussion of company performance compared to the prior year, including three items from the income statement that justify the assessment, is complete and includes explanation and relevant supporting details. Discussion of company performance compared to the prior year, including three items from the income statement that justify the assessment, is extremely thorough and includes substantial explanation and relevant supporting details.
Marketplace Contributions to Performance Explanation of marketplace contributions to performance is not included. Discussion of changes or growth in the marketplace that have contributed to company performance is incomplete or incorrect. Discussion of changes or growth in the marketplace that have contributed to company performance is included but lacks explanation and relevant supporting details. Discussion of changes or growth in the marketplace that have contributed to company performance is complete and includes explanation and relevant supporting details. Discussion of changes or growth in the marketplace that have contributed to company performance is extremely thorough and includes substantial explanation and relevant supporting details.
Revenue Trends Summary of revenue trends is not included. Summary of revenue trends is incomplete or incorrect. Summary of revenue trends is included but lacks explanation and relevant supporting details. Summary of revenue trends is complete and includes explanation and relevant supporting details. Summary of revenue trends is extremely thorough and includes substantial explanation and relevant supporting details.
Company Expenses Summary of company expenses is not included. Summary of company expenses, including whether they are increasing or decreasing, highlights of two expenses, and discussion of significance of the increase or decrease of each expense over time, is incomplete or incorrect. Summary of company expenses, including whether they are increasing or decreasing, highlights of two expenses, and discussion of significance of the increase or decrease of each expense over time, is included but lacks explanation and relevant supporting details. Summary of company expenses, including whether they are increasing or decreasing, highlights of two expenses, and discussion of significance of the increase or decrease of each expense over time, is complete and includes explanation and relevant supporting details. Summary of company expenses, including whether they are increasing or decreasing, highlights of two expenses, and discussion of significance of the increase or decrease of each expense over time, is extremely thorough and includes substantial explanation and relevant supporting details.
Ratio Significance Discussion of ratio significance is not included. Discussion of ratio significance, including gross profit, net profit, and return on assets ratios for the past 3 years, is incomplete or incorrect. Discussion of ratio significance, including gross profit, net profit, and return on assets ratios for the past 3 years, is included but lacks explanation and relevant supporting details. Discussion of ratio significance, including gross profit, net profit, and return on assets ratios for the past 3 years, is complete and includes explanation and relevant supporting details. Discussion of ratio significance, including gross profit, net profit, and return on assets ratios for the past 3 years, is extremely thorough and includes substantial explanation and relevant supporting details.
Presentation of Content The content lacks a clear point of view and logical sequence of information. Includes little persuasive information. Sequencing of ideas is unclear. The content is vague in conveying a point of view and does not create a strong sense of purpose. Includes some persuasive information. The presentation slides are generally competent, but ideas may show some inconsistency in organization or in their relationships to each other. The content is written with a logical progression of ideas and supporting information exhibiting a unity, coherence, and cohesiveness. Includes persuasive information from reliable sources. The content is written clearly and concisely. Ideas universally progress and relate to each other. The project includes motivating questions and advanced organizers. The project gives the audience a clear sense of the main idea.
Organization, Effectiveness, and Format 25.0%
Layout The layout is cluttered, confusing, and does not use spacing, headings, and subheadings to enhance the readability. The text is extremely difficult to read with long blocks of text, small point size for fonts, and inappropriate contrasting colors. Poor use of headings, subheadings, indentations, or bold formatting is evident. The layout shows some structure but appears cluttered and busy or distracting with large gaps of white space or a distracting background. Overall readability is difficult due to lengthy paragraphs, too many different fonts, dark or busy background, overuse of bold, or lack of appropriate indentations of text. The layout uses horizontal and vertical white space appropriately. Sometimes the fonts are easy to read, but in a few places the use of fonts, italics, bold, long paragraphs, color, or busy background detracts and does not enhance readability. The layout background and text complement each other and enable the content to be easily read. The fonts are easy to read and point size varies appropriately for headings and text. The layout is visually pleasing and contributes to the overall message with appropriate use of headings, subheadings, and white space. Text is appropriate in length for the target audience and to the point. The background and colors enhance the readability of the text.
Language Use and Audience Awareness (includes sentence construction, word choice, etc.) Inappropriate word choice and lack of variety in language use are evident. Writer appears to be unaware of audience. Use of primer prose indicates writer either does not apply figures of speech or uses them inappropriately. Some distracting inconsistencies in language choice (register) or word choice are present. The writer exhibits some lack of control in using figures of speech appropriately. Language is appropriate to the targeted audience for the most part. The writer is clearly aware of audience, uses a variety of appropriate vocabulary for the targeted audience, and uses figures of speech to communicate clearly. The writer uses a variety of sentence constructions, figures of speech, and word choice in distinctive and creative ways that are appropriate to purpose, discipline, and scope.
Mechanics of Writing (includes spelling, punctuation, grammar, language use) Slide errors are pervasive enough that they impede communication of meaning. Frequent and repetitive mechanical errors distract the reader. Some mechanical errors or typos are present, but they are not overly distracting to the reader. Slides are largely free of mechanical errors, although a few may be present. Writer is clearly in control of standard, written, academic English.
Documentation of Sources (citations, footnotes, references, bibliography, etc., as appropriate to assignment and style) Sources are not documented. Documentation of sources is inconsistent or incorrect, as appropriate to assignment and style, with numerous formatting errors. Sources are documented, as appropriate to assignment and style, although some formatting errors may be present. Sources are documented, as appropriate to assignment and style, and format is mostly correct. Sources are completely and correctly documented, as appropriate to assignment and style, and format is free of error.
Total Weightage 100%

Calculator

Calculate the price of your paper

Total price:$26
Our features

We've got everything to become your favourite writing service

Need a better grade?
We've got you covered.

Order your paper