Financial Analysis Jiajiafu Modern Agriculture Ltd †Free Samples

Question: Examine about the Financial Analysis Jiajiafu Modern Agriculture Ltd. Answer: Understanding Financial Statement 1.Jiajiafu Modern Agriculture Ltd is a holding organization associated with creation and gracefully of natural vegetables in the China showcase alongside its auxiliary Qingzhou Jiajiafu Modern Agriculture Group Co Ltd. The organization is associated with undertaking new development in rural field using most recent innovation items in leafy foods cultivating, collecting, pressing, showcasing, gracefully and appropriation. The significant results of the organization, for example, tomatoes, chilies, radish scratch are offered to discount retailers and stores. The organization was set up in the year 2011 and is headquartered in New South Wales, Australia (pp.09-11). The all out offer capital of the organization is $ 20,823 and its offer cost is 0.18 AUD $ (Jiajiafu Modern Agriculture Limited, 2016, pp. 56) 2.The name of the inspecting firm is BDO Corporate Finance (Jiajiafu Modern Agriculture Limited, 2016, pp.68). 3.As expressed in the notes to the monetary area of the yearly report of the organization, its budget summaries are set up based on Australian Accounting Standards Board (AASB) bookkeeping arrangements and shows. It has likewise been announced that the budgetary data unveiled in the yearly report additionally consents to International Financial Reporting Standards created by International Accounting Standards Board (IASB). The organization has received authentic cost show in building up the budget summaries according to AASB administers and is estimated at reasonable incentive at each parity date (Jiajiafu Modern Agriculture Limited, 2016, pp.61). 4.The monetary data of the organization for the most recent two years is expressed as follows: FY 2015 FY2016 All out income 28,100 17,539 Net Income 4,051 2,453 Benefit before charge 1,094 718 Net Profit after expense 1,094 718 (Every single budgetary figure in Australian Dollar) (Jiajiafu Modern Agriculture Limited, 2016, pp.54) 5.The measure of benefits for the most recent two years is expressed as follows: FY 2015 FY2016 Complete resources 28,000 42,392 Current resources 11,000 18,914 Non-current resources 17,000 23,478 (Every money related figure in Australian Dollar) (Jiajiafu Modern Agriculture Limited, 2016, pp.56) 6.The measure of liabilities for the most recent two years is expressed as follows: FY 2015 FY2016 Complete liabilities 4,770 5,308 Current liabilities 4,070 5,041 Non-current liabilities 0.70 267 (Every monetary figure in Australian Dollar) (Jiajiafu Modern Agriculture Limited, 2016, pp.56) 7.The stock is estimated at lower cost or at net releasable incentive according to AASB gauges (Jiajiafu Modern Agriculture Limited, 2016, pp.53). 8.The property, plant, hardware is expressed at chronicled cost less gathered devaluation and impedance. The deterioration is determined using straight-line premise that included discounting the net expense of appropriately, plant and hardware according to their normal helpful lives. The revealed assessed lives of each of the non-current resources are as per the following: (Jiajiafu Modern Agriculture Limited, 2016, pp.63). Structures and plant offices 5-50 years Green house 5-20 years Office and other gear 3-10 years Leasehold improvement over the rent term Engine vehicles 8-10 years 9.The elusive resources revealed to be decided sheet incorporate altruism and licensed innovation. The evaluated valuable existence of impalpable resources is determined at cost less amortization and weakness and is inspected every year (Jiajiafu Modern Agriculture Limited, 2016, pp.63). 10.Ratios Current Ratio: Current Assets/Current Liabilities Year 2015: 2.70 occasions Year 2016: 3.76 occasions (Page 54 to 56 of yearly report) Obligation Ratio: Debt/Total Assets Year 2015: 0.17 occasions Year 2016: 0.006 occasions (Page 54 to 56 of yearly report) Stock Turnover Ratios: Cost of Goods Sold/Average Inventory Year 2015: 40.67 occasions Year 2016: 150.06 occasions (Page 54 to 56 of yearly report) Days in Inventory: 365/Inventory Turnover proportion Year 2015: 8.97 occasions Year 2016: 2.43 occasions (Page 54 to 56 of yearly report) Basic analysis Ratio: Quick Assets/Current Liabilites Year 2015: 2.557 occasions Year 2016: 3.75 occasions (Page 54 to 56 of yearly report) Reference Jiajiafu Modern Agriculture Limited. 2016. [Online]. Accessible at: https://www.jjfma.com/picture/zg/JJF%20-%20Replacement%20Prospectus%20(Typeset%20version)- 3120109-v1-SYDDMS.PDF [Accessed on: 12 May 2017].