Analysis Of International Financial Report

Analysis Of International Financial Report,

(Analisis Laporan Keuangan Internasional)

International financial analysis report ( alki ) required because there 's rising international investment and done with intent to keuanganantar companies and between the time data is down there.

Analysis Of International Business Strategy

Analysis business strategy is an important step first in analysis financial report. This analysis provide understanding qualitative over companies and all their competition relating to environmental economic case. With identifying of thruster profit and business risk which is ultimate, analysis business strategy or effort will help analysts to make forecasting realistic

Thw difficulties analysis Of international business strategy :

1. Accessibility of information

Analysis business strategy difficult especially in some countries because of lacking andalnya information on the macro economic development. Received information on industry also hard done in many of the states as well as to the quality and amount of information highly diverse companies. Special accessibility of information about the company very low in developing countries. Recently many large corporate who performs registration and acquire capital in overseas markets had expanded the disclosure of them and voluntarily turn to the principle of accounting internationally recognized as a standard financial reporting international.

2. A recommendation to do an analysis

Limitation of data make an effort to do the analysis afterwards business strategy by using the method of traditional research being difficult to do. Often often done travel to study the business climate and bagaimanan local industry and the company actually operates , especially in the developing countries

Analysis Of Accounting

Accounting analysis purpose is to analyze the extent to which the company reported reflect economic reality .

Stepin doing evalusai accounting quality of a company:

a) Identify the major accounting policies

b) Analyze accounting flexibility

c) Evaluate accounting strategy

d) Evaluate the quality of disclosure

e) Indentification potential problems

f) Make adjustments for accounting distortions

International Financial Analysis

International financial analysis report

A source of information for analysis reports international finance is :

1. The financial report , a supporter of schedule and the record on the financial statements

2. The background of wealth companies and pengungkapannya

International financial analysis techniques have been used is :

1. Analysis of the data compare trend item-item periodically for two years or more like the trend of profit, debt ratings, a change of the revenue, the growth of geometric etc.

2. Analysis of the ratio of comparing items one with another item financial statements with the purpose of obtaining the same understanding about profitability company , leverage , liquidity and efficiency.

An indicator of return :

1. Earnings per share = net profit growth of common shares

total of common stock from common shares outstanding

Return on assets = Net income / Total Assets

Return on equity = Net income / Owners' equity

2. Liquidity and Risk Indicators:

· Current Ratio = Current Assets / Debt

· Debt to equity ratio = Total Debt / Owners' equity

Mechanism To Resolve The Differences Accounting Principle Among Countries

Some approach that can do is :

- some analysts re- presenting size accounting foreign according to a group principle that internationally recognized or conforming to other basic more generally .

- few others develop complete understanding over accounting practice a group of countries in particular and limit their analysis against companies located in these countries .

Difficulties And Weakness In The Analysis Of International Reeport

A. Access to information

Information about thousands of company of the world has widely available in recent years. Source of information in amount innumerable emerging through world wide web ( www ). Company in the world today have a web site and its annual report available for free from various sources other .

B. Timing information

Timing the financial report , annual report , report to the regulator vary in the countries .

C. Hindrance language and terminology .

D. Issues currency foreign .

E. Differences in type and format financial report .