Essay --

1.Ope symmetrynal Strengths and Weaknessesa.Horizontal AnalysisThis grammatical case of analysis compares the percent and amount of changes from division to year. The analysis is performed on both the income statement and equilibrise sheet to detect trends and identify any issues. This offer be a rattling useful analysis especially when more(prenominal) than two years of data is available. With this analysis and various others a groovy understanding of how the conjunction is operating can be seen. Revenue officeThe income statement shows both strengths and weaknesses. There is a jump in shed light on sales from year 6 to year 7 by 33% this is a substantial increase for the company and strength. In year eight-spot compared to year seven, the company has seen a decrease in net sales by 15%. Net sales show to be or else unstable and a possible source of weakness as well. The decrement in revenue is ultimately due to the current economic situations which could be attribut ed to funding cuts by sponsors for some of the riders. This kind of up and down in net sales may be common for the company all over the years to come. The company should to a fault consider having a product to balance this out. Since their main source of sales is a specialty item it would eudaimonia the company to have additional products that are more main catamenia to even out sales in the future. However, unit sales allow most likely stay below year sevens superior of 4,342,000, it is expected that unit sales will increase over the conterminous three years to make up for its decline in year eight. Cost of good sold has moved with the net sales, which is a decreed note. This means the company is not spending more on products than sales allow, and purchasing is projecting accurately. However, there may be opportunity for the company to dress the ... ...to reduce interest can help increase this ratio, as well as increasing sales.Overall all in the ratio analysis the company has several areas of strengths and several areas of weakness. It would benefit the company to reduce their expenses and increase sales to improve these numbers over time. The company is also struggling to keep up with competitors in several areas, and much of that could be combated with increased sales and better expense control.2.Working Capital before long Competition Bike Inc. working capital is positive. The company has more assets than they do liabilities. The company has seen a decrease in their assets in the last year but the companys liabilities have also decreased. The companys working capital ratio has remained around 2.1 for the last three years. This is very positive for the company, a ratio between 1.2 to 2.0 is recommended.