Archive for March, 2008
Analyzing A Company’s Performance
0 CommentsIn the analyzing annual reports category, I have also included many articles on ratio analysis,etc for financial expertise to review/analyse the performance of an entity.
In addition to this ratio analysis, we should also look at broadly the following four(4) segments/spectrum so as to be able to adequately conclude on the entity’s performance:
Industry analysis
Business analysis
Management quality
Financial analysis
In the Industry analysis, we should […]
Simple Illustration Of Computing The Working Capital Requirements
0 CommentsIn earlier articles, we learned about cash conversion cycle and other working capital management techniques.
Below is a simple illustration on how to compute the working capital requirement and a few suggestion to improve the computed amount:-
Let’s have say Division A in Company ABC Ltd plans to launch a new product. The plan […]
Role Of Treasury:Holding The Right Quantum Of Cash
0 CommentsOne of the role of Treasury is to ensure the right quantum of cash/liquidity to hold. So what really is the right quantum of cash to hold? The obvious answer would simply be the amount needed to pay today’s debt which is aided by deploying advanced technology like money wires, electronic wire transfer/computerization to pay […]
Price Earning Ratio/Multiple
0 CommentsIn a company’s valuation, Price Earning(P/E) multiples are applied to earnings based on the maintainable profits before tax less minority interest(gross). In determining the PE multiples, it is equally important to ensure that the following factors should also be taken into consideration:-
net tangible asset value;
quality of management;
nature of products/services;
track record;
growth prospects;
prospective dividend yield;
prospective tax expense […]
Typical Role Of Manager- Corporate Strategy
0 CommentsNormally, in the Finance’s Organization Chart, we might see but quite rarely the post of Manager for Corporate strategy reporting to the CFO.
As this post is quite crucial to the company’s business growth, it will normally be directly reporting to the senior management
So what does normally this role entails
Append below perhaps are some of the […]
