Financial Accounting final project
Assignment
1.Perform a full absolute and % comparative Horizontal and Vertical Analysis of the Balance sheet and Income Statement using the information from Year 2 and Year 1 for the hotel. Pleasewrite a small paragraph interpreting the change in Total Assets,Total Liabilities, Owner's Equity and in Net Profit, based on yourcalculations. (25%)
2.Prepare Statements of Cash flow as at the end of year 2, usingthe information from the balance sheet and income statements foryears 1 and 2. Write a paragraph (analysis) on the liquidity of the businessbased on the Statements of Cash Flow and what this means tothe stakeholders in the business. (35%)
3.Summarize the financial position and performanceachievements for Year 2 and make recommendations tomanagcment for the next financial year. Your analysis shouldconsist of examining the following financial classcs and includeappropriatc ratios (40%)