20/11 In this exercise, you will use spreadsheet software to analyze company financial statements and create graphs important financial data As part of your analysis of the company for the management, you have been asked to analyze data on Dirt Bikes’s financial performance and prepare a report for management . Review Dirt Bikes’s selected financial data in the introduction to Dirt Bikes’s, which can be found at the laudon web site .
There you will find Dirt Bikes’s income statement and summary balance sheet data from 2002/2006, and total domestics versus international sales between2002 and 2006 Use your spreadsheet software to create graphs of Dirt Bikes’s sales history from 2002 to 2006 and its domestics versus international sales from 2002 to 2006 select the type of graph that is most appropriate for presenting the data you are analyzing.
Use the instruction at the laudon web site and your spreadsheet software to calculate the gross and net margins in Dirt Bikes’s income statements from 2004 to 2006. You can also create graphs showing trends in selected pieces of Dirt Bikes’s income statement and balance sheet data if you wish (You may want to rearrange the historical ordering of the data if you decide to do this) 1. What are dirt Bikes’s best-and worst- performing products? What is the proportion of domestic to international sales?
Have international sales grown relative to domestic sales? 2. Are sales (revenues) growing steadily, and, if so, at what rate? What is the cost of goods sold compared to revenues? Is it increasing or decreasing? Are the firm’s gross and net margins increasing or decreasing? Is the firm heavily in debt? Does he have sufficient assets to pay for operational expenses and to finance the development of new products and information systems? 3. Prepare a slide show that summarizes your analysis of dirt Bikes’s performance