Financial analysis for {Real McCoy & McCoy Lite}
Presentation format – A 2-3 paged write up based on the business analysis of

NOTE: Use and SHOW financial ratios formulas deployed to arrive at answers
ALSO write out the lines numbers on spread sheets where the numbers came from
THEN give interpretation of forecast for Quarter 4, 2015 and Quarter 1, 2016

HINT: Include these financial formulas as guide

What is needed are financial analysis using 4 main financial equations

a. % change in volume = – % changes in price/ {CM% + % in price} for.. .
{1} Real McCoy AND {2} McCoy Lite

b. Variance = OMi – OMj {use this to explain sales, operating margin, value gap, net income, asset, equity

c. Dupoint model

Net income/sales x sales/assets = Net income/assets x asset/ equity = Net income/equity

d. Cash flow = Change in cash = Operating CF + Investing CF + Financing CF
.
e. QAA effectiveness dropped a bit between both spreadsheets.. … WHY ??
f. R & D please explain with numbers from the data
g. McCoy Lite Price are a bit higher, it’s a lower quality, but selling more.. .. WHY ??
h. Do material cost need to go down why or why not ??
i. Other Analysis/ratios/ metric — > Contribution Margin, Markup, revenue, Value gap operating profit, net income, fixed production cost, gross profit margin, average variable cost, average fixed cost, average total cost, contribution margin per unit & returns on sale.