Performing short-term financial analysis on Saudi Cement Company

  1. Perform Ratio Analysis by examining liquidity, solvency and performance measures, long-term solvency or
    financial leverage measures, asset management or turnover measures, profitability measures, and market
    value measures. The analysis should be done by applying both time trend analysis and peer group analysis.
    For each measure, should explain the upside and downside trend of these measures for the selected firm.
  2. Analyze the cash conversion period (CCP).
  3. Calculate the NPVCCP of each company and explain their impact on shareholder value.
  4. extend/shrink the operating cycle (OC) or days payables outstanding (DPO) and determine the effects of this
    operation on the NPVCCP.

Sample Solution