As China’s economy continues to blossom – a result of the changes that have taken place since the end of the Maoist era and subsequent birth of the Open Door policies in the 1970’s – it can
On January 1st, 1999, a new currency was born. Created out of the desire of 11 (now 13) countries to have a standardized currency amongst them, the Euro began as a leveling of conversion rates between the
This is an effort to find the approximate amount of working capital a company should have by comparing the amount of working capital on the Balance Sheet (arrived at by subtracting current liabilities from current assets) to
The first section of the Balance Sheet lists all items that a company can quickly convert into cash. This is important to be able to pay for unforeseen events such as lawsuits and demand loans. Inventory is
In this section, we have selected two large Canadian corporations of high regard in worldwide markets for some comparative balance sheet analysis. The purpose is to illustrate to investors the need to investigate more than a few
Bombardier’s liability accounts raise an interesting question. These are questions provoked only because the ratios indicate some serious deficiencies. Why is long-term debt (representing a third of all liabilities) so large in comparison to the property, plant,
Dollar cost averaging is an investment technique that, in theory, mitigates the risk of investing a lump sum of money into the market all at once. Essentially DCA (dollar cost averaging) is a schedule for investing a
Loblaw Companies has been trying to navigate its way through some rough retailing waters lately. Canada’s dominant supermarket chain has seen share prices eroded and a shiny image tarnished by a series of poor results. It is
Operating Cash Flow has exceeded Net Income in each of the past five years. This positive cash flow is a reliable indication of profitability. Cash flow shows little sign of a weakening trend.
Working Capital Position: The current position of the company has actually improved. There is a stronger ability to convert current assets to cover current liabilities than was the case five years ago.