Posted: December 15th, 2016

Common Size analysis on the balance sheet provides information about the sources and uses of funds. Trend analysis provides information about changes in the company accounts over time)

Financial Statement Written Analysis First step: Make any corrections needed on your data work à ratios, common size, trend, and graphs. Print out fresh copies of anything that has been corrected. If you corrected ratio calculations, you will also need to reprint the related graphs. Second step: Complete the analysis grid. This provides the data framework for your paper. Third step: Carefully read any notes on your past two written submissions along with the general comments distributed in class. Take these comments into consideration when writing your analysis. Step four: layout your paper 1) Structure a) Type in the section headings & make bold (use this order and be sure to make bold) Introduction Analysis of the Balance Sheet Analysis of the Income Statement Trend Analysis Analysis of the Cash Flow Statement Return Ratio Analysis Profitability Ratio Analysis Liquidity Ratio Analysis Solvency Ratio Analysis Conclusion b) Under each heading, write your paragraphs. c) Every paragraph should start with a topic sentence (some examples: Common Size analysis on the balance sheet provides information about the sources and uses of funds. Trend analysis provides information about changes in the company accounts over time) 2) Length: 4-6 pages 3) Page Layout a) Margins: 1” all around b) Double spaced. c) Type size i) 10 point Arial or equivalent ii) 12 point times new roman or equivalent 4) Exhibits: Label each exhibit (Exhibit 1, Exhibit 2, etc… as in the Cheesecake Factory example a) As you write, you should reference your data (some examples: See the common size balance sheet, refer to the ratio table for more detail, See the Solvency graph) b) The order of the exhibits should be the same as the order of the written analysis 5) Submission a) Cover sheet b) Staple together cover sheet and your analysis c) Submit your final graded copy of your excel work.