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- State the approaches of value management recommended by The Institute of Management (Solved)
State the approaches of value management recommended by The Institute of Management
Date posted: November 9, 2021.
- List the beliefs that govern the decisions made by organizations(Solved)
List the beliefs that govern the decisions made by organizations
Date posted: November 9, 2021.
- Describe Whistle-Blowing in an organisation stating the cases for it and those against it(Solved)
Describe Whistle-Blowing in an organisation stating the cases for it and those against it
Date posted: November 9, 2021.
- Identify the factors that lead to increase in unethical behavior in an organization(Solved)
Identify the factors that lead to increase in unethical behavior in an organization
Date posted: November 9, 2021.
- Describe three Principles of Ethical Behaviour(Solved)
Describe three Principles of Ethical Behaviour
Date posted: November 9, 2021.
- Explain the Strategies for Implementing Social Responsibility(Solved)
Explain the Strategies for Implementing Social Responsibility
Date posted: November 9, 2021.
- Describe two Perspectives on Corporate Social Responsibility(Solved)
Describe two Perspectives on Corporate Social Responsibility
Date posted: November 9, 2021.
- List some of the areas in which policies and procedures of Promotion of Fair and Equitable Treatment are developed and applied(Solved)
List some of the areas in which policies and procedures of Promotion of Fair and Equitable Treatment are developed and applied
Date posted: November 9, 2021.
- Discuss the five points of Continuum of management/worker control(Solved)
Discuss the five points of Continuum of management/worker control
Date posted: November 9, 2021.
- Describe the employment law(Solved)
Describe the employment law
Date posted: November 9, 2021.
- Discuss some of the Laws Affecting the Operation of Markets(Solved)
Discuss some of the Laws Affecting the Operation of Markets
Date posted: November 9, 2021.
- State the applications of cost, volume and profit analysis.(Solved)
State the applications of cost, volume and profit analysis.
Date posted: November 8, 2021.
- Outline the steps in installation of management accounting system.(Solved)
Outline the steps in installation of management accounting system.
Date posted: November 8, 2021.
- State and explain the roles of management accountant.(Solved)
State and explain the roles of management accountant.
Date posted: November 8, 2021.
- Discuss the tools and techniques used in management accounting.(Solved)
Discuss the tools and techniques used in management accounting.
Date posted: November 8, 2021.
- Outline the differences between financial accounting and management accounting.(Solved)
Outline the differences between financial accounting and management accounting.
Date posted: November 8, 2021.
- Outline the differences between cost accounting and management accounting.(Solved)
Outline the differences between cost accounting and management accounting.
Date posted: November 8, 2021.
- Outline the advantages of management accounting.(Solved)
Outline the advantages of management accounting.
Date posted: November 8, 2021.
- Discuss the Scope of Management Accounting .(Solved)
Discuss the Scope of Management Accounting .
Date posted: November 8, 2021.
- What are the objectives of management accounting?(Solved)
What are the objectives of management accounting?
Date posted: November 8, 2021.
- State and explain the characteristics/nature of management accounting.(Solved)
State and explain the characteristics/nature of management accounting.
Date posted: November 8, 2021.
- Why is Teamwork Important at Workplace?(Solved)
Why is Teamwork Important at Workplace?
Date posted: November 8, 2021.
- Common Problems at Work with their possible solutions(Solved)
Common Problems at Work with their possible solutions
Date posted: November 8, 2021.
- How to deal with Absenteeism in the Workplace(Solved)
How to deal with Absenteeism in the Workplace
Date posted: November 8, 2021.
- Discuss the causes of Abseentism in work place(Solved)
Discuss the causes of Abseentism in work place
Date posted: November 8, 2021.
- Importance of Confidentiality at Work(Solved)
Importance of Confidentiality at Work
Date posted: November 8, 2021.
- Ways to Deal with Unethical Behavior in the Workplace (Solved)
Ways to Deal with Unethical Behavior in the Workplace
Date posted: November 8, 2021.
- Discuss the Ethics that are Important in Business(Solved)
Discuss the Ethics that are Important in Business
Date posted: November 8, 2021.
- RATIO ANALYSIS CASE STUDY
The financial statements below were extracted from the books of E. A. Portland Cement Company ltd. The excerpts below were also extracted...(Solved)
RATIO ANALYSIS CASE STUDY
The financial statements below were extracted from the books of E. A. Portland Cement Company ltd. The excerpts below were also extracted from the key managers reports;
The business environment in the year continued to present challenges such as competition, high energy costs and importation of cheap cement into the market which reduced sales in the local and regional markets.
The Group’s performance in the year was affected by these factors resulting to a loss of Kshs 385 million. Earnings per share reduced to a loss of Kshs (4.30) from Kshs 19.73 in the year 2013. Clinker production increased in the year reducing the quantity of purchased clinker by 39%.
Major improvements in production efficiencies however resulted in 3% savings in cost of production. However, the cost of energy increased marginally in the year averaging Kshs.13.36 per kwh compared to kshs 12.70 per kwh in 2013. Power consumption averaged 69.1 million kwh in the current year compared to 67.7 million kwh in the previous year resulting in additional costs of Kshs. 70 million during the year in focus due to the higher production of clinker. As a result of the cost savings, Gross Margin returned an impressive 26% despite a 3% slump in cement prices.
Administrative and Selling Costs increased by Kshs 700m (or 34%) attributed to higher staff and administration expenses incurred in the year. There was an increase in staff costs driven by restructuring management levels and staff compensation.
For the year under review, the Company returned an operating loss of Kshs. 92 million compared to prior year operating profit of Kshs. 340 million while the loss before tax was Kshs. 374 million compared to a profit before tax of Kshs. 1,419 million the previous year.
The previous year’s results included Fair Value Gain on revaluation of the investment property amounting to Kshs. 730 million. Cash flows generated from operations remained relatively stable at above Kshs 700 million similar to the previous year. Investments in long term capital projects used up Kshs. 597 million while servicing of loan obligations used up another Kshs. 541 million during the year.
Required
a. Calculate the key ratios under each of the categories below to evaluate the financial performance of the company
1. Liquidity ratios.
- Current ratio
- Cash ratio
2. Gearing/leverage/capital structure ratios.
- Debt ratio
- Capital gearing ratio
- Interest cover ratio
3. Profitability ratios.
- Gross profit margin
- Net profit margin
- Return on capital employed
- Return on equity
4. Growth and valuation ratios.
- Earnings per share
- Price-earnings ratio given average share price for 2014 to be sh 53
- Earning yield
b. Provide a detailed analysis of the company performance, indicating whether you concur with the report provided by the management on the financial performance of the company.
Date posted: November 8, 2021.
- List some of the Bioethical Issues in Ethics and Social Responsibility(Solved)
List some of the Bioethical Issues in Ethics and Social Responsibility
Date posted: November 8, 2021.