Premium Essay

North Branch and the South Branch Case

In: Business and Management

Submitted By yrrahjim
Words 931
Pages 4
Case Background

This case is concerned about the North Branch and the South Branch’s comparison when it comes to profitability, short-term and long-term liquidity. * Cash flow provided * North Branch 600,000 * South Branch 550,000 * Assumptions * The balances in asset and equity accounts at year-end approximate the average balances during the period. * Income tax rate was 30% Simplified and Condensed Income Statements


Using appropriate financial ratios, explain which branch is: * A. More Profitable * B. Less risky in terms of short-term liquidity? * C. Less risky in terms of long-term liquidity? Answers:

A. More Profitable Profitability financial Ratios

Return Ratios | Formula | North | South | Return on Equity | Net IncomeTotal Equity | 6424,000= .16 0.16:1 | 4923,500= .14 0.14:1 | Return on Assets | Net IncomeTotal Assets | 6426,000=.11 0.11:1 | 4926,000=.08 0.08:1 |

Margin Ratios | | | | Gross Profit Margin | Gross ProfitTotal Sales | 1,5004,300= .35 or 35% | 1,6003,000= .53 or 53% | Cash Return on Asset | CF from Operating ActivitiesTotal Assets | 6006,000=.10 0 .10:1 | 5506,000=.09 0.90:1 | Net Profit Margin | Net ProfitTotal Sales | 6424,300= .15 or 15% | 4923,000= .16 or 16% | Cash Flow Margin | CF from Operating Cash FlowsTotal Sales | 6004,300= .14 or 14% | 5503,000= .18 or 18% | Operating Profit Margin | EBITTotal Sales | 1,0174,300= .24 or 24% | 9033,000= .30 or 30% |


As a shareholder, North Branch is better. South Branch has to improve its ability to generate shareholders wealth. Moreover, for South branch, they were able…...

Similar Documents

Free Essay

Fa Branch

...A Brief History of the Field Artillery Branch By: A Brief History of the Field Artillery Branch Throughout history, artillery has been used on the battlefield to overcome extreme obstacles and gain dominance. Although artillery in its beginnings was much different from today, the heritage behind it is one of which to be proud. As it began, artillery could be looked at as more of an art of engineering than that of war else. Implements of war were designed to be disassembled and moved over large distances with the assistance of horse teams. These devices included things such as the catapult, onager, trebuchet, and ballista. While these pieces are far from what artillery has become today they are still commonly considered by historians to be ancient artillery. With these ancient mechanical devices, the outcome of a battle could often be quickly decided. It was not until the development of gunpowder that artillery began to move away from the larger mechanical pieces to the devastating cannons of today. While gunpowder played a key role in the modernization of artillery, the rifling of the bore (barrel) also played a huge role. “Rifling had been tried on small arms in the 15th Century. The machinery used to accurately rifle the barrel of a cannon did not arrive until the 19th Century. Cavelli, Wahrendorff, and Whitworth all independently produced rifled cannon in the......

Words: 1007 - Pages: 5

Premium Essay

Analytical Report on Overall Activities of Icb : a Case Study of Rajshahi Branch

...Activities of ICB : A Case Study of Rajshahi Branch CHAPTER-ONE Introduction 1.1  What is internship? Internship means practical training through attending the particular work physically. Practical training means a way through which a person or a trainee can gather experience about the related subject practically and be able to apply his theoretical experience in the field of real life action. Practical training paves the way for gaining practical knowledge through activities other than reading textbooks and attending formal academic courses. Practical training is necessary to achieve complete knowledge about something. Internship program is a form of practical training. I firmly believe, practical training can open the inner eyes of a man. The works conducted during the Internship Program will expand the horizon of our practical knowledge. For the students of BBA of the Department of Accounting & Information System internship is an academic requirement. For the internship every student is required to work in a selected institution to enhance his practical experiences. The internship is managed and supervised by a supervisor who is a teacher of the department. For my internship, I was sent to the Investment Corporation of Bangladesh(ICB) under the supervision of Sohel Rana, Assistant professor, Department of Accounting & Information System, Jagannath University. My topic was “An Analytical Report on Overall Activities of ICB – A Case Study of Rajshahi Branch" I have......

Words: 14992 - Pages: 60

Premium Essay

Branch of Commerce

...constantly protecting the citizens of our country, and making decisions to improve the life-style of the population. Each branch of government has different power; those powers combined make the law, enforce it and verify that it is fair for the individuals. The power is limited, on both federal and state governmental actions. A part of their responsibility is associated with the taxing and spending power. In other words, we can say that the president, the congress and the Supreme Court require following the UCC to guarantee the equal protection of the citizen and the commitments made in the performance of their duties.   To begin with, the three branches of government are: Legislative, Executive and Judicial. The Legislative branch is formed by the Congress, which is divided into The House of Representatives and the Senate. The President, vice president and the cabinet form the Executive branch. The Supreme Court and the other Federal Courts form the judicial branch. The branches of government could be associated with the UCC, or The Uniform Commercial Code (UCC). This code is a group of act, first publicized in 1952 to unify the law on commercial transactions around the nation. Furthermore, the Legislative branch is in charge of making the law. They have the power to “make, change or repeal the laws of a country or state” (Farlex Inc., 2013). This branch consists of The House of Representatives, which has 435 members that represent all the states. The number of members......

Words: 1697 - Pages: 7

Premium Essay

Judicial Branch

...Judicial Branch The Judicial branch of government of the United States was set up by article III of the Constitution. The Judicial branch is given great power over the common law, but still very limited due to a complex system or checks and balances. The Federalist Papers 78-83 describes in great detail the newly proposed system of judicial government. The author of these papers was Alexander Hamilton. John Jay, and James Madison contributed to the other parts of the Federalist. The most interesting aspect of the judicial branch is the way it fits into the system that also is comprised of the Executive branch, and the legislative branch. Alexander Hamilton writes, “The judiciary, from the nature of its functions, will always be the least dangerous to the political rights of the constitution; because it will be least in a capacity to annoy or injure them”. The executive branch can be viewed as the, “sword of the community”, and the legislative has the power to create the laws the all citizens of the United States must follow (Hamilton 78). The brilliant thing is even though it seems the judicial branch of government does not carry as much power, it never states that in Hamilton’s letters due to the fact that the judicial branch is considered an “indispensable ingredient” (Hamilton 78). The power of the judicial branch may be considered not as direct as the other branches, but is still powerful nonetheless. The legislative branch and executive branch......

Words: 1170 - Pages: 5

Premium Essay

The Manzana Case Manzana Insurance- Fruitvale Branch Case Study

...The Manzana Case Manzana Insurance- Fruitvale Branch case study Executive Summary The Fruitvale Branch of Manzana is facing its bitter reality of declining profitability and potential loss of market shares to its main competitor-Golden Gates due to its rising renewal loss rate and expanding turnaround time. In our analysis, we dig into several issues that were possible causes for the problem and tend to provide readers with feasible solutions that may resolve the issues on hand. Examples of such issues as we have identified in the case include, but not limited to, various departments’ deviation from FIFO system, potential capacity and staffing problems, uneven workload among three underwriting teams, outdated SCT for computing TAT, and inaccurate computation process for TAT. In order to lower the number of late renewals and reduce turnaround time, our recommendations include, but not limited to, the following: 1) Making it mandatory for all departments to comply with the FIFO system and implementing monitoring plans for overseeing the entire underwriting process to ensure FIFO is strictly implemented; 2) Revising the incentive scheme for Fruitvale Branch employees to further assist with the successful implementation of FIFO system; 3) Expanding the number of days RERUNs are released to DCs prior to the due dates to ensure that there is sufficient time for relevant departments to complete the requests on or before due dates; 4)Revising and updating the SCT used......

Words: 2873 - Pages: 12

Premium Essay

Which Branch of Government Is the Strongest

...Judicial Branch Is The Most Powerful The Articles of Confederation was a failure because there were more weaknesses than strengths. The Articles of Confederation gave congress the power to pass laws, but no power to enforce those laws. If a state didn’t support the law, that state could just ignore that law. The Congress also had no power to regulate trade or levy taxes. There was no federal court system or executive leader. The states could even issue their own money. The states were not nationally united. Then all this was fixed in 1789 when the US Constitution was put into place. The US Constitution included three branches of government called the Judicial, Legislative, and Executive branches. These three branches of governments have “checks and balances” to make sure no branches will become more powerful than the others. But one branch of government still seems more powerful than the others, the Judicial branch of government. The Judicial branch of government is superior to the Legislative branch of government because the Judicial branch of government can declare laws unconstitutional. Although the Legislative branch of government can impeach and remove judges, new judges can be elected back on the Judicial branch of government. The new judges then would have the power, which is still in the Judicial branch of government, the power still lies in the Judicial branch of government. In the Constitution, Article 3 The Judiciary, Section 3 Paragraph 1 Supreme Court it......

Words: 925 - Pages: 4

Free Essay

Branch List Axis Bank

...Sl. No. Sol Id Branch Name Branch Address City District State / UT 1 1898 Bathu Basti Ground and first floor, Opposite Hotel Karpagam, Garacharma. Port Bathu Basti Blair, Dist. South Andamans, Andaman And Nicobar, Pin 744105 South Andaman Andaman & Nicobar UT 2 1560 Diglipur Subhas Gram, Opp. Govt Secondary School, PS.: Diglipur, Dist. North Diglipur & Middle Andaman, Andaman & Nicobar, Pin 744202 North & Middle Andaman Andaman & Nicobar UT 3 157 Port Blair 5, Middle Point, Port Blair 744 101, Andaman & Nicobar Islands Port Blair South Andaman Andaman & Nicobar UT 4 727 Adilabad Adilabad, Andhra Pradesh,H/No/ 4-3-60/10, 11,Opp/ Bus Stand, N H Adilabad No/ 7,Adilabad 504001, Andhra Pradesh Adilabad Andhra Pradesh 5 1512 Adoni D.No.21/170/1, 170/2, 21/170, 170/3, 170/4, 170/5, 170/6, Adoni, Dist. Adoni Kurnool , Andhra Pradesh, Pin 518301 Kurnool Andhra Pradesh 6 353 Alamuru Alamuru, Andhra Pradesh,S/ No/ 232/1,Mandapeta To Alamuru Road, Alamuru 533 233,East Godavari District, Andhra Pradesh Alamuru East Godavari Andhra Pradesh 7 1378 Alwal No.1-16-108/G2, J J Nagar, R K Gill Plaza, Alwal, Secunderabad, Dist. Alwal Ranga Reddy, Andhra Pradesh, Pin 500015 Rangareddy Andhra Pradesh 8 1730 Anakapalle Door No. 12-4-54, Boddeda Apparao Complex, RTC complex Road, Anakapalle Anakapalle, Dist.Visakhapatnam, Andhra Pradesh, Pin......

Words: 54922 - Pages: 220

Premium Essay

The Executive Branch

...our government. This was implemented by creating three branches of government that had to coincide with each other in order to function. Although each branch has its own powers, duties, and responsibilities that influence how the government works, the executive branch has become more and more powerful over the years. In this essay, I will discuss the framers intended relationship between the legislative, executive, and judicial branches and I will argue how the executive branch wields the most power among the three branches of government. Our system of government was set up to have three branches of government: the executive branch which executes the laws, the legislative branch which creates the laws and finally the judicial branch which interprets the laws. The constitution states their powers and their checks on one another so that no branch would have more power than the other two, because of this, the framers of the Constitution set up a system of checks and balances. Under this system, each branch has the ability to stop the other two branches from gaining too much power. For example, one way the executive branch/president is able to check the legislative branch/Congress is through the presidential veto. The president can veto any bill that has been passed by Congress and stop that bill from becoming law. The judicial branch/Supreme Court has the ability to check the president and Congress through judicial review. With this power, the Supreme Court can declare a law......

Words: 1333 - Pages: 6

Premium Essay

Branch Banking

...Banking on Branch Banking - Satwik Misra, CFA A s a student of business and a banker by profession, I continue to be intrigued by the powerful economic and customer centric argument made by the ongoing Fintech revolution. After all what is the deal about Fintechs? Fintech startups have essentially created a business model which avoids structural formalities of being an institution, while providing a more efficient means of serving clients. This is exactly what makes the move to digital extremely attractive for banks, and ones who seek to reduce cost and change with changing times, in other words modernize. The question that I seek to answer through this post is that in doing so, are Canadian (and more broadly North American) banks in danger of deserting one of finest ways of engaging with customers – i.e. branches? Over last 12 months, I have had the opportunity to speak with few bank executives. Through my conversations I observed that some of them tended to view digital transformation as a phased process. To illustrate this, I’ll use a personal example. I recently took a bank loan online. Here my journey began on the bank’s website, followed by a phone call to the bank and ended with a trip inside the branch. In other words, digital experience constituted only 30% of the entire process. Leaders however do acknowledge that this phased digital experience/ approach will eventually move to automating almost every aspect of the customer......

Words: 1140 - Pages: 5

Premium Essay

Branchs of Government

...ensuring that each branch of government has a role in upholding the rights of the people. The three branches of government created are The Judicial Branch, The Executive Branch, and The Legislative Branch. In examining the creation of the branches of government it has become apparent and the following table will establish that these branches create a balance of power. The following table defines the interaction between the branches of government: Branches of Government | Legislative BranchSenate and House of Representatives | Judicial BranchSupreme Court | Executive BranchPresident and Cabinet | Duties and Responsibilities | Legislative branch creates laws and AmendmentsLegislative branch has the power over all the money spent; can create or change taxes, spend funds on defense of the nation and establishes the national budgetLegislative branch has the power to declare warLegislative branch has the responsibility of supervising, investigating and creates laws for the officers of governmentLegislative branch ratifies treatiesLegislative branch has the power to confirm those of the President's appointees.Legislative branch appoint judges to the Supreme Court | Judicial branch determine when a law is unconstitutional.Judicial branch establish the jurisdiction in which a case is heardJudicial branch has the responsibility to administer Constitutional law and to apply it to constitutional disputesJudicial branch establishes the disposition of prisonersJudicial branch......

Words: 753 - Pages: 4

Premium Essay

Branch Manager

...Managerial Economics MBA 204 030 BILL FRENCH, ACCOUNTANT Bill French picked up the phone and called his boss, Wes Davidson, controller of Duo- Products Corporation. “Say, Wes, I’m all set for the meeting this afternoon. I’ve put together a set of break –even statement that should really make the boys sit up and take notice- and I think they’ll be able to understand them, too.” After a brief conversation about other matters, the call was concluded and French turned to his charts for one last check-out before the meeting. French had been hired six months earlier as a staff accountant. He was directly responsible to Davidson and, up to the time of this case, had been doing routine types of analysis work. French was an alumnus of a liberal arts undergraduate school and graduate business school, and was considered by his associates to be quite capable and unusually conscientious. It was this latter characteristic that had apparently caused him to “rub some of the working guys the wrong way,” as one of his co-workers put it. French was well aware of his capabilities and took advantage of every opportunity that arose to try to educate those around him. Wes Davidson invitation to French to attend an informal manager’s meeting had come as some surprise to others in the accounting group. However, when French requested permission to make a presentation of some break –even data, Davidson acquiesced. The Duo-Products Corporation had not been making use of......

Words: 2711 - Pages: 11

Premium Essay

Judiciary Branch

...Fiction vs. Reality Jessica Nefedov University of Phoenix The United State’s judicial system is one that controls the everyday sentencing and hearing of cases. These cases range from civil matters, such as divorce, evictions, small claims and child custody to misdemeanors and felonies. Misdemeanors and felonies are criminal cases. Our Judicial system is made up of three branches of government; the Legislative branch which examines, debates and votes on bills, the Executive branch that initiates and administers the law, and the Judiciary branch, that we will be discussing in this paper. The Judiciary branch applies the law, as is seen in courtrooms across America and in homes on televisions. Television shows are popular for their dramatics, which increase their ratings. The more dramatic and action packed a show is, the more people tune in to watch it, therefore making it a successful show or series. In the world today popular crime shows such as Law & Order, CSI, Raising the Bar, and Peoples Court, show the dramatics of a case. Of these shows, Law and Order and Raising the Bar, both portray the legal drama and police procedures taken in a case. Upon watching an episode of Law & Order or Raising the Bar, one will see a lot of discrepancies of the fiction versus reality of today in the courtroom. It is important to remember that television shows are not real, unless stated so. Again the idea of creating a successful series is to have it......

Words: 1371 - Pages: 6

Premium Essay

Judicial Branch

...American Samoa Government Final Research Paper May 11, 2012 Doctor Si’ulagi Solomona Judicial Branch Page 1 of 10 Where the Executive and Legislature branches are elected by the people, members of the Judicial Branch are appointed by the President and confirmed by the Senate. Article III of the Constitution, which establishes the Judicial Branch, leaves Congress significant discretion to determine the shape and structure of the federal judiciary. Even the number of Supreme Court Justices is left to Congress – at times there have been as few as six, while the current number (nine, with one Chief Justice and eight Associate Justices) has only been in place since 1869. The Constitution also grants Congress the power to establish courts inferior to the Supreme Court, and to that end Congress has established the United States district courts, which try most federal cases, and 13 United States courts of appeals, which review appealed district court cases. [ ] The Judiciary explains and applies the laws. This branch does this by hearing and eventually making decisions on various legal cases. The Judicial Branch is in charge of the court system. There are three different kinds of courts found in the federal court system. The lowest level is the district courts. The 2nd level is the court of appeals. The top level is the Supreme Court. Did you know: 1. The Supreme Court was set up by the Constitution. 2. The......

Words: 775 - Pages: 4

Premium Essay

Branch Security

...CHAPTER 4 BRANCH SECURITY GENERAL 62. With the changing security scenario, establishment of Bank branches will require detailed consideration. No building should be selected or constructed unless it adheres to the basic security prerequisites. Security planning should start from the time we think of setting up a branch in an area. Generally, banking business and administrative considerations should and would take precedence while selecting a site but security should not be given a back seat. It must be understood that banking activity is prone to security risks and makes an area crime prone and vulnerable. The local police must be consulted regarding the proposed site of the branch. It is important that it goes on their beat map and patrols pay special attention. 63. In view of the changing security threats, it has become imperative to lay down certain guidelines for identifying the location and layout of our branches. While such guidelines could be easily implemented at new premises, it may not be feasible in our existing branches unless complete renovation is contemplated. Nevertheless, interim measures/ modifications could still be incorporated in our existing branches towards meeting the various security requirements to the best possible extent. 64. OPENING OF A NEW BRANCH (a) While selecting premises for a new branch, the ground floor space is preferable, as it is convenient, both from the public as well as from the branch staff’s point of view. In...

Words: 4152 - Pages: 17

Premium Essay

Legislative Branch

...also establishes joint committees to collaborate with the Senate. Joint committees include members of both the House and the Senate. They are created to investigate specific problems, but lack the authority to recommend legislative action. The House sometimes creates special investigative committees, usually called select committees, to delve into specific problems, such as corruption in a government agency. The party with the most seats in the House selects a Speaker of the House, who presides over the chamber and leads the majority party. The Speaker refers bills to committees, appoints members to special committees, and grants members the right to speak during chamber debates. The Speaker does not usually vote on bills except in the case of ties. With the help of deputies, the Speaker also influences committee assignments, oversees committee handling of bills, and schedules bills for debate and voting by the House. This control over committee assignments and scheduling gives the Speaker considerable influence over which laws are eventually approved by the chamber. Because more laws originate in the House than in the Senate, the Speaker of the House can have a decisive impact on the laws of the United States. The broad powers make the Speaker the most prominent person in Congress. The Constitution allows the House to make up its own rules and procedures. Control of important House committees often changes when House rules are revised, so members often really duke it out...

Words: 3738 - Pages: 15

Sailor Moon | 90 Days Time to Love | Anthony Ramos