ACT 5140 – Accounting for Decision Makers
National Beverage Corp.
Assignment Due 06-24-2017
Directions: Answer all the questions. Please use this Excel
workbook for your all of your ratio answers.
Nothing else needs to be submitted except this Excel Workbook for these
ratios. Be sure to show how you did your
calculations in the cells for each answer. Also, please be sure to fill out all
information in the coversheet provided. The assignment
To do the best paper you should use information from various
areas of each of the four Annual Reports provided for National Beverage as a
basis for some of your answers. The
MD&A (Management’s Discussion and Analysis) and Notes to the financial
statements are a good place to start, but there are other areas in the Annual
Report that can prove to be even more valuable in doing your analysis. It is best to be familiar with what is in
each of the Annual Reports provided before starting any analysis work.
Since this project will take some time to do, it is best
that you begin this project as soon as possible
There are 2 Parts to the project. (1) Prepare this Excel
Workbook for the computations of the ratios (2) Prepare a Word Document for the
Ratio Analysis work. This Word Document
must be in coherent proper English and will be graded for grammar as well as
content. Be sure you proof read your
work several times before handing it in to be graded.
Part 1 – Excel Sheet Prepare Ratios
Prepare the Ratios for National Beverage Corp. concerning
liquidity, solvency, profitability, DuPont, and stock performance as of April
30, 2016 and prior statement information. For each area, you should calculate
the ratios we discussed in class and provide an analysis of the ratios
calculated. I include historical stock
price information and outstanding common share information below.
Note: It is best to
prepare the Part 1 ratios right after you understand the ratios found in
Homework 1 since this information will be the freshest in your memory at this
point. If you get these ratios done in
an expedient manner you will then have 4 weeks or more to prepare a wonderful
written analysis of the ratios you prepared.
(see part 2 requirements below)
Part 2 – Separate Word Document Prepare Analyses
Prepare a Word Analyses Document with the following headings
and prepare you analyses like that shown in “Example Analysis” (See
Black Tab labeled Example Analysis) below for each ratio prepared.
1. Short Term Ratios
Analyses
2. Long Term Ratios
Analyses
3. Profitability
Ratios Analyses
4. Explanation of
DuPont Theory
This are does not
require any analyses of ratios since most of these should already have been
analyzed with the Profitability Ratios
Therefore I want you
to Explain the DuPont Theory with a minimum of 200 words to prove you
understand what the DuPont Theory is
all about
5. Stock Ratios
Analyses
6. Vertical and
Horizontal Analyses
1. Explain why not all the Fiscal Years Ended
listed for National Beverage below do not fall on the last day of April.
2. For the Vertical and Horizontal Analyses
only, explain several notable Ratios (you do not have to explain all of
them) that have the most meaning
to prove the analysis you are trying to make about the company.
Final Note: It is
important that you use information from the annual reports to get the best
grade for your analysis work. I have
downloaded the annual reports for you, so please use them. In many instances it
will clear up reasons why ratios changed.
The best places to look are in the managment discussion and analysis
(Commonly known as MD&A) and the notes to the financial statements, but
other areas throughout the report also provide excellent information about the
company. Remember at least 5 references
that will be done in the Word Document must be cited and contain the foot note
refer
