Ratio Analysis of McDonald's - Case Study Example

The global sales of mcdonald's in 2011 were $27 billion.... … The three companies chosen for financial analysis are Accenture, Wal-Mart, and mcdonald's.... mcdonald's is the largest fast food restaurant in the world.... The use of aggressive advertising strategies has helped mcdonald's gain popularity, increase its customer base, and achieve superior customer retention.... Section two The annual reports of Accenture, Wal-Mart, and mcdonald's were downloaded for review....

The total assets and total equity of mcdonald's as of December 31, 2010 were $31,975 million and $14,634 million respectively.... The current ratio of mcdonald's in 2010 was 1.... The return on assets (ROA) of mcdonald's in 2010 was 15.... In 2010 the accounting firm Ernest & Young audited the financial statements of mcdonald's.... The reason that this company interested me is because I see so many mcdonald's establishments across the United States....

Based on the analysis, a general viewpoint is given to ascertain whether it would… mcdonald's is one the world's top international foodservice retailer which provides fast-food to its consumer through franchises and outlets of which over 80% outlets are separately possessed and The brand collectively has over 33,000 restaurants, franchises and outlets serving on a daily basis over 68 million people in almost 120 countries.... (About McDolands) The business model of franchising helps mcdonald's to convey reliable, quality oriented and locally-relevant eating experiences to its customers....

Income statement, balance sheet, cash flow statement, and statement of shareholders' equity are the major financial… Further analysis, in ratio analysis, is however necessary to allow for a comparative perspective of an organization's financial position, from a longitudinal and This paper discusses McDonalds' 2013 annual report with focus on the company's operations, income statement, balance sheet, and cash flow, and ratio analysis....

The income statement also referred to as the statement of earnings covers the entire performance of mcdonald's Corp.... The financial statements indicate that for over one year, movement on mcdonald's has been little in their bottom line area ranging from five-and-half billion United States dollars to five billion and sic million dollars.... In the top section, the company also experienced little… However, the statements also demonstrate positive movements for the corporation since it has cut down on the percentage of sales associated with the cost of goods sold from Financial analysis Apple and McDonalds Financial ments The financial ments indicate that for over one year, movement on mcdonald's has been little in their bottom line area ranging from five-and-half billion United States dollars to five billion and sic million dollars....

It is from the financial statement we can find out how efficient the Financial analysis between McDonalds and Yum Brands Incl.... analysis will be done on the cash flow, income statement and balance statement These ratios include current ratio, quick ratio and cash ratio.... From the above analysis we can see that McDonalds has higher liquidity ratio than Yum Brands Incl.... From the above analysis still McDonalds has higher quick ratio as compared to Yum Brands Incl....

mcdonald's digital marketing strategies are extremely… The company is using all major social networks effectively for the promotion of its products.... “The mcdonald's US page has more than 27m fans, and its local market pages have all attracted several hundred thousand ‘likes'”(Moth).... “mcdonald's generally posts fewer than five updates a month yet each one attracts several thousand ‘likes' and comments, which is more than the brands that posts several times per day” (Moth)....

Financial statement analysis: A practitioner's guide.... Financial reporting, financial statement analysis, and evaluation: A strategic perspective.... One commonly used financial ratio is current ratio.... Current ratio is the relationship between current assents and current liabilities in a company's balance sheet (Davies & Lesley, 2014).... Current ratio indicates a company's liquidity levels; a positive ratio means that a company can pay its liabilities with ease while a negative current ratio is a sign of inflexibility in payment of liabilities....