analysis of financial health- Hyatt

HRMA 4343 Project 1 Analysis of Financial Health

This is an individual assignment. Your group is for you to confer and work with each other. Please DO NOT start one file and share that same file with your team as this is not a TEAM project. Each student is to begin his or her work on their own computer. When complete, please upload your file to Blackboard.

Use this website to access your information:

https://www.sec.gov/edgar/searchedgar/companysearch.html

Look for the latest 10K report (annual report) which should have both at least the last two years of financial statements, as you will need two years of data for completing the horizontal analyses. PLEASE USE THE MOST RECENT TWO YEARS OF DATA FOR YOUR ANALYSIS. Your assignment is to download the financial statements of your assigned company and perform the following:

a. Income statement – vertical and horizontal analyses

b. Balance sheet – vertical and horizontal analyses

c. Statement of cash flow – horizontal analysis

d. Ratios – calculate at least six ratios of your choice from the following categories: liquidity, solvency, activity, and profitability. HINT: Since you will be comparing these ratios to the industry standards, please consult the RMA standards so you will be calculating ratios that have available standards with which to compare.

e. Comment on the financial health of your assigned company by using the results of each of the above sections. The written comments need not be extensive but should cover the important points and extraordinary items. For example, in the income statement analysis, you should explain what a vertical and what horizontal analysis mean. Select the accounts that have the highest dollar differences and highest percentage differences and comment on them.

f. Grading Rubric for Project #1

Since this project is completed in EXCEL, all calculations are expected to be performed within EXCEL. Calculations done outside EXCEL and the answered typed into EXCEL will not be considered correct. Please note that the “group” is for you to collaborate and learn from each other. Each student is to do their own EXCEL sheet and turn them in separately.

Criteria Points Points Earned

Analysis of the Industry	10
Vertical--Balance Sheet Numerical Written Analysis	5 5
Vertical--Income Statement Numerical Written Analysis	5 5
Horizontal--Balance Sheet Numerical Written Analysis	5 5
Horizontal--Income Statement Numerical Written Analysis	5 5
Horizontal--Statement of Cash Flow Numerical Written Analysis	5 5
Ratios Numerical Written Analysis	15 15
Grammar, organization, and presentation	10

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