Financial Analysis Xacc280 Final Project
Financial Analysis, Final Project
Based upon my knowledge learned on financial reporting, I had compared to companies reporting statistics. The two companies in comparison are PepsiCo Incorperated and The Coca-Cola Company in which both have reported annual statistics for 2004 and 2005. During my comparison of net incomes, gross expenses, stock statistics, and assets accumulations, I have suggested some strategies for each business to take into consideration for better future results. As an accountant in training, I will be giving specific details of my analysis and recommendations, as these are my opinions for financial success.
As an investor both of these companies are up for consideration according to increasing revenue numbers. On the inside, this evaluation will give a determination of my opinion on rather to invest in either company and in what manners one outweighs the other and reasoning for my opinion. Investing one’s hard-earned money into a company is a risky decision to make, but in return, every investor hopes for the best possible outcome in risk taken. Given financial information to evaluate before decision-making this is the best possible plan to making a positive call on an investment.
Word of mouth is not enough for me to want to trust a company with my investments. Still being new at this type of research analysis and I still feel very confident in my judgments and determinations to decide if a company will be successful in return. Keeping in mind that no business is of any guarantee, anything can happen at any given time. Prior to investing regardless of prior statistics, it is important not to move forward with too many expectations in mind. Investing is gambling. Beginning with PepsiCo I have calculated some ratios gathered form financial statements provided by my XACC-280 class Axia College. Further examination and evaluation of these ratios then led to the support of my suggestions
References: Axia College Week 7 Supplement Document Ch15, Retrieved from class: XACC/280 . (2010). Financial Statement Analysis .