Financial statement analysis project Essay Example | Topics and Well Written Essays - 250 words

Financial statement analysis project - Essay Example Depreciation of company property and equipments is done on a straight line method. Amortization is also deducted from the fixed assets. The longest life spun of equipment is five years which account for its useful life. Buildings are considered for 25 years. From the analysis, there are three things that are interesting about the company. Google Inc provides credit to its specified customers with no need for collateral. These are provided for in the allocation for bad and doubtful debts. More than 40% of revenue is received from unsecured receivables. The company has only class A and B shares in its portfolio. From the analysis, is that from the ratios analysis, strong companies like Google Inc have a current ratio of more than 1. The profit margin of the company goes more that 20% to prove its sustainability in the competitive global market. Application of international standards in financial reporting cannot be avoided even by independent multinationals. The share value continues to shore up in the stock market because of guaranteed return on equity. Treating financial vote heads in the universal standards is not