Analysis of Financial Statements and Forcasting

[pic 2]Report on

“analysis of financial statements and forcasting”

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 To identify the financial strength of Lafarge Surma Cement Shoe Company (Bangladesh) Ltd & Meghna Cement Adelchi Footwear Limited by analyzing their accounting statements is our main point of view. Regarding this, we consider a definite period and finding out the reason of the discrepancy about different types of issues.

Have detail understanding about the instruments of finance.

• Make a thorough analysis of the two companies’ financial statements over the last 3 years with the aid of ratio analysis, analysis of major components of the balance sheet, and financial forecasting.
•  Find out where Lafarge Surma Cement Shoe Co. (BD.) Ltd & Meghna Cement Adelchi Footwear Limited compete with each other.
• Find out the strength and weaknesses of Lafarge Surma Cement Shoe Co. (BD.) Limited & Meghna Cement Adelchi Footwear Limited

1. Methodology

2.1 Statistical Technique

Bar chart and line graph were our representing technique to processes the data Of the Meghna Cement Adelchi Footwear Limited & Lafarge Surma Cement Shoe Company (Bangladesh).

2.2 Nature of Data

Data we used to prepare the report is the secondary data.

2.3 Sources of Data

This report was prepared mainly based on the secondary data available in the market. The secondary data was collected from the internet, newspapers and the company’s annual reports. The report prepared from the analysis of the raw data is of the formal type and the information from the secondary data was used to support the findings of the financial analysis.

Primary data had been collected from the Dhaka Stock Exchange and is of little importance to the report. However these data have been helpful in providing us with some direction about how to approach with the analysis.

2.4 Period under Consideration

Data for the last three financial years, starting from 2009 up to 2011, had been taken under consideration while preparing this report. We have forecasted the year 2012 of our two companies.

2.5 Nature of Analysis

We analyze of two companies (Lafarge Surma Cement Shoe Company (Bangladesh & Meghna Cement Adelchi Footwear Limited) Financial data with the help of “Ratio Analysis” of the year 2009 to 2011. In the ratio analysis we mainly analyze the trend analysis and cross sectional analysis. After that we have forecasted the next year (2012) analysis and mention some ratio of that particular forecasted year.