1
2
Business
Analysis
3
Financial
Analysis
Overview of the module
PURCELL, T., 2001. Strategic Planners Lead the Pack [Online] Journal of
Accountancy, 912, 6, 26-30, http://0web.ebscohost.com.emu.londonmet.ac.uk/ehost/pdfviewer/pdfviewer?vid
=3&hid=112&sid=cd6d2291-4fd4-42f3-ac462126abea53fd%40sessionmgr112 [Accessed 30th September 2012]
EMSHWILLER, J., AND SMITH, R., 2001. Behind Enron’s Fall, a culture of Operating
outside Public’s view [Online] Wall Street Journal 5 December, 2001, A1, A10, WSJ
Europe Edition, http://online.wsj.com/article/0,,SB1007502843500372680,00.html
[Accessed 22nd September 2012]
The story of Enron and a lesson in Creative Accounting is captured in the Oscar
Nominated documentary film, “Enron: The Smartest Guys in the Room”
4
Financial
Statemen
ts
5
Balance
Sheet
Balance
Sheet
6
Incom
e
State
ment
Income
Statemen
t
Sakoui, A. and Blitz, R., 2010. Man Utd's first bond suffers from lack of support,
The Financial Times [Online] http://www.ft.com/cms/s/0/a69fb348-106311df-a8e8-00144feab49a.html#axzz27yf9KBzB [Accessed 28th September 2012]
SENDER, H. and DUYN A., 2010. Lack of consistency in Lehman’s Asset Valuations
[Online] Financial Times, 15 March, 17, http://www.ft.com/cms/s/0/78077b94-2fa111df-9153-00144feabdc0.html#axzz270O8Zd2P [Accessed 22nd September 2012]
FEDER, B., 2001. JDS Uniphase will write down $44.8 Billion in Assets [Online] New York
Times, 27 July, C1-C2 http://www.nytimes.com/2001/07/27/business/technology-jdsuniphase-will-write-down-44.8-billion-in-assets.html?pagewanted=all&src=pm
[Accessed 22nd September 2012]
NELSON, E., 2001. P&G’s One-Time Charges Make Critics Look Twice at Earning
[Online] Wall Street Journal, 4 April, C1-C2,
http://faculty.babson.edu/halsey/acc7500/Restructuring%20charges-%20P&G%20%20WSJ%204-3-01.doc [Accessed 30th September 2012]
HARRIS, G., 2003. Bristol-Myers Says Accounting Was Inappropriate, Inflated Sales,
[Online]Wall Street Journal, 11 March, A2, A8,
http://online.wsj.com/article/SB1047061088593427800.html [Accessed 25th
September 2012]
Income
WHITE, J. and HAWKINS, L., 2005. GM Will Restate Results for 2001 in Latest Stumple,
Statemen [Online]Wall Street Journal, 10 November, A1, A13
t
http://online.wsj.com/article/SB113158081329892910.html [Accessed 20th September
2012]
7
SAKOUI, A., 2009. Companies learn to care for cash [Online] Financial Times, 2 October
Cash Flow http://www.ft.com/cms/s/0/8835e406-af5e-11de-ba1c-00144feabdc0.html [Accessed
Statemen 28th September 2012]
t
Credit
Analysis
Financial
Statemen
t Analysis
SIAM, W., KHRAWISH, H., and AL-DAAS, A., 2011. The Utilizing of Financial Analysis in
Rationalising Decision of Granting Credit Facilities [Online] International Research Journal Of
Finance & Economics, 69, 26-34, http://0web.ebscohost.com.emu.londonmet.ac.uk/ehost/pdfviewer/pdfviewer?sid=3559fbe2-1c71-43b6a7e6-6f5d78769f87%40sessionmgr10&vid=12&hid=14 [Accessed 29th September 2012]
for Credit
-I
Financial
Statemen
t Analysis
for Credit
– II
ALTMAN, E., 1968. Financial ratios, discriminant analysis and the prediction of
corporate bankruptcy. Journal of Finance 23, 589-609.
ALTMAN, E., 1993. Corporate financial distress and bankruptcy. New York: John
Wiley, 2nd edition.
ALTMAN, E., HALDEMAN, R., and NARAYANAN, P., 1977. ZETA analysis: a new model
to identify bankruptcy risk of corporations. Journal of Banking and Finance 1, 29-51.
Analysing
Internal
Statement
s
ALTMAN E., and NARAYANAN, P., 1997. An international survey of business failure
classification models. Financial Markets and Institutions 6, 2, 1-57.
ALTMAN, E., 2000. Predicting Financial Distress of Companies [Online]
http://pages.stern.nyu.edu/~ealtman/Zscores.pdf [Accessed 29th September 2012]
Epstein, M, Friedl, M, and Yuthas, K., 2008. Managing Customer Profitability. Determining
which customers
are most valuable to your organization, Journal Of Accountancy,
206, 6, pp. 54-59 [Online] http://0web.ebscohost.com.emu.londonmet.ac.uk/ehost/pdfviewer/pdfviewer?vid=3&hid=112
&sid=7c006b63-7587-469f-83a7-bba8e641d582%40sessionmgr112 [Accessed 29th
September 2012]
KAVANAGH, M., 2009. Chealsea Owner Axes £340m of Debt [Online] Financial Times, 31
December, http://www.ft.com/cms/s/0/5bf8da7c-f574-11de-90ab00144feab49a.html#axzz27yf9KBzB [Accessed 29th September 2012]
MENN, J., 2010. Yahoo Faces Battle to Keep up with its Sleeker Rivals [Online] Financial
Times, 25 January, http://www.ft.com/cms/s/0/f1a1f9e6-0951-11df-ba8800144feabdc0.html#axzz27yf9KBzB [Accessed 29th September 2012]
SOLIMAN, M., 2008., The use of DuPont Analysis by Market Participants [Online] The
Accounting Review, 83, 3, 823-853, http://0web.ebscohost.com.emu.londonmet.ac.uk/ehost/pdfviewer/pdfviewer?vid=3&hid=112&
sid=eec7513d-2635-4f39-bc64-85fba3b5c2fc%40sessionmgr115 [Accessed 30th
September 2012]
Equity
Analysis
NISSIM, D., and PENMAN, S., 2003. Financial Statement Analysis of Leverage and How It Informs
About Profitability and Price-to-Book Ratios, [Online] Review of Accounting Studies, 8, 4, 531-560,
http://0web.ebscohost.com.emu.londonmet.ac.uk/ehost/pdfviewer/pdfviewer?vid=3&hid=112
&sid=616865e0-f4b3-4d6b-abcf-917749da2420%40sessionmgr113, [Accessed 30th
September 2012]
Coursework assignment requires use of the analytical tools explained in this chapter.
Some relevant sources for learning and practicing of the tools are provided below.
MIDDLETON, J., 2003. The ultimate strategy library: the 50 most influential strategic
ideas of all time. Oxford: Capstone
PORTER, M., 2004. Competitive strategy: techniques for analyzing
industries and competitors. New York; London: Free Press
PORTER, M., 1998. Competitive advantage: creating and sustaining
superior performance. New York; London: Free Press
The following websites provide a wide range of materials on the topic of
strategic analysis tools.
1. Michael Porter’s publications. List can be found at the Harvard Business School website
www.isc.hbs.edu; 2. Businessballs.com is a free ethical learning and development resource
for people and organisations. It includes a number of free resources on strategic analysis,
including free materials, exercises, tools and templates.
www.businessballs.com/pestanalysisfreetemplate.htm, 3. Corporate Strategy Board
subscription website offering information, case studies and tools on strategic analysis can be
found at www.csb.executiveboard.com, 4. Mind Tools provides extensive high quality web
content, including articles on strategic analysis topics, which are freely available online at
www.mindtools.com