Financial Analyst (Sparklin Automotive Company)

Abstract

This is a research paper in which I have analyzed the financial statements of Sparklin Automotive Company as a financial analyst. I have elaborated the financial statements such as income statement, balance sheet, statement of cash flow and statement of shareholders equity along with various important financial ratios that can be of great use to the decision makers within the organizational setup. It is extremely important for Sparklin Automotive Company to have accurate financial statements so that the future planning can be done by the managers and the entrepreneurs in an effective way. The Sparklin Automotive Company is having fair enough financial position that can be observed from its financial highlights discussed in this report. With the help of financial statements board of directors of Sparklin Automotive Company and executive management team that was present in the meeting can make better decisions related to the business strategy such as divestiture, product development, market development etc. in order to enhance its profits and improve its presence in the automotive industry.

Table of Contents

Introduction4

Discussion4

Use of Financial Statements to Executive Management Team8

Support of Financial Information in Management of an Enterprise9

Limitations of the Information Regarding Financial Statements9

Getting Complete Picture of the Enterprise by the Management Team10

Conclusion11

References13

Financial Analyst (Sparklin Automotive Company)

Introduction

As a SAC's corporate business financial analyst, the essential financial information that I will be providing SAC Board of Directors and the team of executive management of SAC enterprise will be related to the statements that consists of how the information was generated and how it will be used by the team of executive management. I would be informing the board of directors about the financial activities of the company that needs to be managed, its summary and the limitations that are attached to it. I will be presenting the financial information to them in the form of presentation along with the detailed Sparklin Automotive Company's statements such as balance sheet, income statement, statement of cash flows and owner's equity.

Discussion

An initial area that I will be covering in my presentation will be the financial statements and the purpose of these statements for an organization. The financial statements play an important role in presentation of what was the performance of the organization in a particular period of time. It shows the financial effectiveness and issues that an organization has faced during a particular period of time. In my speech I will highlight the issues and progress that the Sparklin Automotive Company has faced during the period of 2010 to 2011. The speech will declare the movement of money in the form of cash inflow and outflow that is from where the money is coming and where it is invested and what is the current status of that investment (Altman et.al, 2012). The key statements that would be elaborated in detail in front of the members of the meeting will be cash flow statements, income statements, balance sheets and statements of shareholders equity of both 2010 and 2011.

The balance sheet of Sparklin Automotive ...