20071106 Download Balance Sheet Analysis Tool

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Balance Sheet Analysis ToolPurpose

Categories Assets = Liabilities + Equity

Assets Includes both current and fixed assets. Current assets are cash, marketable securities, stock, receivables and

inventories. Fixed assets include property, plant, and equipment, goodwill, intangibles, and long-term investment

Liabilities Liabilities are any debt the company owes. This includes accounts payable, notes payable, and short-term and

term debt.

Equity A combination of stock and retained earnings.

Instructions

Info-Tech Research Group tools and template documents are provided for the free and unrestricted use of subscribers to Info-Tech Research Group services.

You can use this document either in whole, in part, or as a basis and guide for your own documents. To customize this document with your own corporate

marks and titles, simply replace the Info-Tech Information in the Header and Footer fields of this document.

This Balance Sheet Analysis tool is designed to aid decision makers in simplifying the review of balance sheets. The categories and items in this tshould not be taken as an exhaustive list; there are spaces within each section of the spreadsheet to add additional items as required.

1. Go to the worksheet labeled "Example Comparison" for a sample of the sheet filled in with two company's Balance Sheet numbers. Use theaccompanying research note "Spotting Balance Sheet Red Flags" for commentary and analysis on the example.

2. Go to the worksheet labeled "Balance Sheet Analysis." Fill in the appropriate values for each category (cells to be filled in are highlighted in whitAdd any categories needed by inserting more rows. Balance Sheet ratios will be automatically calculated below.


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ABC Balance Sheet

Assets in millions of USD Current Year Previous YearPrevious Year

- 1

Previous Year

- 2Current Assets

Cash & Equivalents 6,111.00$ 6,714.00$ 4,851.00$ 15,982.00$Marketable Securities / Stocks 17,300.00$ 27,447.00$ 32,900.00$ 44,610.00$Net Receivables 13,237.00$ 11,256.00$ 8,881.00$ 7,987.00$

Inventories 1,127.00$ 1,478.00$ 491.00$ 421.00$Other Current Assets 2,393.00$ 2,115.00$ 1,614.00$ 1,566.00$

Total Current Assets 40,168.00$ 49,010.00$ 48,737.00$ 70,566.00$Net Property, Plant & Equipment 4,350.00$ 3,044.00$ 2,346.00$ 2,326.00$

Goodwill 4,760.00$ 3,866.00$ 3,309.00$ 3,115.00$Intangibles 878.00$ 539.00$ 499.00$ 569.00$Long-Term Investments 10,117.00$ 9,232.00$ 11,004.00$ 12,210.00$Other Long-Term Assets 1,509.00$ 1,295.00$ 1,299.00$ 1,774.00$Deferred Long-Term Asset Charges 1,389.00$ 2,611.00$ 3,621.00$ 1,829.00$

Total Fixed Assets 23,003.00$ 20,587.00$ 22,078.00$ 21,823.00$

Total Assets 63,171.00$ 69,597.00$ 70,815.00$ 92,389.00$

Liabilities & Shareholder's Equity Current Year Previous YearPrevious Year

- 1

Previous Year

- 2

Current LiabilitiesAccounts Payable 6,612.00$ 9,521.00$ 5,768.00$ 6,534.00$Notes Payable / Short-Term Debt 2,741.00$ -$ -$ -$

Other Current Liabilities 14,401.00$ 12,921.00$ 11,109.00$ 8,435.00$Total Current Liabilities 23,754.00$ 22,442.00$ 16,877.00$ 14,969.00$Total Long-Term Debt -$ -$ -$ -$

Other Liabilities 8,320.00$ 7,051.00$ 4,158.00$ 2,595.00$Total Liabilities 32,074.00$ 29,493.00$ 21,035.00$ 17,564.00$

Shareholder's EquityPreferred Stock Equity -$ -$Common Stock Equity 60,557.00$ 59,005.00$ 60,413.00$ 56,396.00$Retained Earnings (29,460.00)$ (18,901.00)$ (12,298.00)$ 18,429.00$

Total Equity 31,097.00$ 40,104.00$ 48,115.00$ 74,825.00$

Total Liabilites & Shareholders' Equity 63,171.00$ 69,597.00$ 69,150.00$ 92,389.00$

Ratios Current Year Previous YearPrevious Year

- 1

Previous Year

- 2

Number of Days in Period 365 365 365 365

Net Credit Sales 51,122.00$ 44,282.00$ 39,788.00$ 36,835.00$Cost of Goods Sold (COGS) 10,693.00$ 7,650.00$ 6,031.00$ 6,596.00$Net Income 28,849.00$ 26,175.00$ 25,353.00$ 21,638.00$

Financial Strength Ratios

Working Capital 16,414.00$ 26,568.00$ 31,860.00$ 55,597.00$

Current Ratio 1.69 2.18 2.89 4.71Return on Assets 46% 38% 36% 23%


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Return on Equity 93% 65% 53% 29%Debt to Equity Ratio 1.03 0.74 0.44 0.23

Efficiency Ratios

Average Age of Receivables 94.51 92.78 81.47 79.14Average Age of Payables 47.21 78.48 52.91 64.75Inventory Turnover 2.05 1.94 3.31 N/A


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XYZ Balance Sheet

Assets in millions of USD Current Year Previous YearPrevious Year

- 1

Previous Year

- 2Current Assets

Cash & Equivalents 2,703.16$ 3,244.96$ 1,737.60$ 1,467.72$Marketable Securities / Stocks 3,162.00$ 3,374.68$ 3,108.24$ 1,539.68$Net Receivables 935.96$ 1,174.52$ 1,077.72$ 929.96$

Inventories 1,728.40$ 1,779.56$ 1,687.04$ 1,871.60$Other Current Assets 114.08$ 119.00$ 115.40$ 92.80$

Total Current Assets 8,643.60$ 9,692.72$ 7,726.00$ 5,901.76$Net Property, Plant & Equipment 1,824.72$ 1,877.28$ 2,045.84$ 2,157.36$

Goodwill 1,698.80$ 1,582.04$ 1,564.36$ 853.20$Intangibles 161.60$ 225.68$ 194.48$ 43.20$Long-Term Investments 9.04$ 217.36$ 223.96$ 203.80$Other Long-Term Assets 148.60$ 212.04$ 117.84$ 26.12$Deferred Long-Term Asset Charges

Total Fixed Assets 3,842.76$ 4,114.40$ 4,146.48$ 3,283.68$

Total Assets 12,486.36$ 13,807.12$ 11,872.48$ 9,185.44$


- 1

Previous Year

- 2

Current LiabilitiesAccounts Payable 4,753.68$ 5,405.80$ 3,811.84$ 3,941.04$Notes Payable / Short-Term Debt 842.20$ 979.48$ 902.36$ 872.96$

Other Current Liabilities 1,722.32$ 1,735.36$ 1,645.04$ 1,431.84$Total Current Liabilities 7,318.20$ 8,120.64$ 6,359.24$ 6,245.84$Total Long-Term Debt 4,800.00$ 4,800.00$ 4,800.00$ -$

Other Liabilities 183.96$ 115.12$ -$ -$Total Liabilities 12,302.16$ 13,035.76$ 11,159.24$ 6,245.84$

Shareholder's EquityPreferred Stock Equity 37.40$ 37.40$ 100.00$ -$Common Stock Equity 1,411.40$ 1,660.40$ 1,569.24$ 1,498.60$Retained Earnings (1,264.60)$ (926.44)$ (956.00)$ 1,441.00$

Total Equity 184.20$ 771.36$ 713.24$ 2,939.60$

Total Liabilites & Shareholders' Equity 12,486.36$ 13,807.12$ 11,872.48$ 9,185.44$


- 1

Previous Year

- 2

Number of Days in Period 365 365 365 365

Net Credit Sales 9,672.80$ 10,392.20$ 10,038.50$ 11,055.00$Cost of Goods Sold (COGS) 3,200.80$ 3,520.70$ 3,218.80$ 4,287.20$Net Income (875.90)$ (9.70)$ 457.04$ (431.20)$


Working Capital 1,325.40$ 1,572.08$ 1,366.76$ (344.08)$

Current Ratio 1.18 1.19 1.21 0.94Return on Assets -7% 0% 4% -5%


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Return on Equity -476% -1% 64% -15%Debt to Equity Ratio 66.79 16.90 15.65 2.12

Efficiency Ratios

Average Age of Receivables 35.32 41.25 39.19 30.70Average Age of Payables 179.38 189.87 138.60 130.12Inventory Turnover 0.46 0.51 0.45 N/A


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[Company Name] Balance Sheet

Assets in millions of [currency] Current Year Previous Year Previous Year- 1 Previous Year- 2Current Assets

Cash & EquivalentsMarketable Securities / StocksNet Receivables

InventoriesOther Current Assets

Total Current Assets -$ -$ -$ -$

Net Property, Plant & EquipmentGoodwillIntangiblesLong-Term InvestmentsOther Long-Term AssetsDeferred Long-Term Asset Charges

Total Fixed Assets -$ -$ -$ -$

Total Assets -$ -$ -$ -$


- 1

Previous Year

- 2

Current LiabilitiesAccounts Payable

Notes Payable / Short-Term DebtOther Current Liabilities

Total Current Liabilities -$ -$ -$ -$

Total Long-Term DebtOther Liabilities

Total Liabilities -$ -$ -$ -$

Shareholder's EquityPreferred Stock EquityCommon Stock EquityRetained Earnings

Total Equity -$ -$ -$ -$

Total Liabilites & Shareholders' Equity -$ -$ -$ -$


- 1

Previous Year

- 2

Number of Days in PeriodNet Credit SalesCost of Goods Sold (COGS)Net Income


Working Capital -$ -$ -$ -$Current Ratio

Input boxes are white.


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Return on AssetsReturn on EquityDebt to Equity Ratio

Efficiency Ratios

Average Age of ReceivablesAverage Age of Payables

Inventory Turnover N/A


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[Company Name] Balance Sheet

Assets in millions of [currency] Current Year Previous Year Previous Year- 1 Previous Year- 2Current Assets

Cash & EquivalentsMarketable Securities / StocksNet Receivables

InventoriesOther Current Assets

Total Current Assets -$ -$ -$ -$

Net Property, Plant & EquipmentGoodwillIntangiblesLong-Term InvestmentsOther Long-Term AssetsDeferred Long-Term Asset Charges

Total Fixed Assets -$ -$ -$ -$

Total Assets -$ -$ -$ -$


- 1

Previous Year

- 2

Current LiabilitiesAccounts Payable

Notes Payable / Short-Term DebtOther Current Liabilities

Total Current Liabilities -$ -$ -$ -$

Total Long-Term DebtOther Liabilities

Total Liabilities -$ -$ -$ -$

Shareholder's EquityPreferred Stock EquityCommon Stock EquityRetained Earnings

Total Equity -$ -$ -$ -$

Total Liabilites & Shareholders' Equity -$ -$ -$ -$


- 1

Previous Year

- 2

Number of Days in PeriodNet Credit SalesCost of Goods Sold (COGS)Net Income


Working Capital -$ -$ -$ -$Current Ratio

Input boxes are white.


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Return on AssetsReturn on EquityDebt to Equity Ratio

Efficiency Ratios

Average Age of ReceivablesAverage Age of Payables

Inventory Turnover N/A


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Documents

20071106 Download Balance Sheet Analysis Tool