Finance How to Understand Cash Inflow and Outflow Understanding the eight combinations of cash inflow and outflow.
Finance Case Study: Financial Analysis of a Paper Manufacturing Company A case study of an actual company, covering return on assets, net profit ratio, total asset turnover, etc.
Finance Can shareholders only care about Return on Equity and NOT Return on Assets? (Hint: NO!) As a shareholder you might be tempted to care only your part of the investments, i.e. return on equity. This post explains why that doesn't work.
Finance Finally...What is "Making Money"? Using return on invested capital, WACC, and economic profit to understand what qualifies as "making money". Plus economic profit vs. net profit.
Finance WACC: A Common Way to Calculate the Cost of Invested Capital Previously we've covered how to calculate return of invested capital and the absolute value of such investment in a company. Here we will see how to get the cost of invested capital using WACC.
Finance What is a Good Company from Calculating Economic Profit? Judging whether a company is good or not purely from its profitability could be disguising. Like everything in this world, even growth and profit have costs, and that's the cost of invested capital.
Finance What is a Good Company and How to Calculate Return on Invested Capital How to evaluate the quality of a company? Is a company good or bad? We cover how to calculate the return on invested capital in this one. Read on.
Finance Competitive Strategy from the Lens of Financial Data A strategy is the action of giving up one goal in order to pursue another goal by a business. This post helps you understand two strategies: cost leadership strategy and differentiation strategy.
Finance Application of Time Series Analysis: A TV Manufacturer In the previous episode, we examined the time series analysis of the
Finance Application of Time Series Analysis: A Paper Manufacturer Industry is dynamic. How do industry changes affect individual company's financial statements? Read on.
Finance Application of Common Size Analysis - Comparison between a Paper Manufacturer and a TV Manufacturer How do companies in different industries differ? By using common size analysis, we can clearly see how a paper manufacturer and a TV manufacturer differ in areas such as gross profit, etc.
Finance Competitive Landscape of Paper Manufacturing Industry and Household Appliance Industry Companies' financial performances are impacted by the industries they are in. We will set the tones for analyses of the paper manufacturing industry and the household appliance industry.