Fosters Accounting Assignment :: essays research papers

I.EXECUTIVE SUMMARY.Founded in 1888, Fosters free radical is the result of a long history of amalgamations. Nowadays, regarded as a tri ande worldwide multi-beverages company, Fosters classify possesses three main operational arms Beringer Blass Wine Estate, Carlton and United Beverages, Fosters Brewing International. The group delivers premium branded beers, wine spirits and entertainment products. With US$5.2 gazillion in total operating revenue, Fosters groups operates in Australia, New Zealand, China, California, Italy, Chile, Vietnam, India and Fiji. Besides, its products are sold in over cl countries around the world.The report has analyzed the financial performance and financial inactiveness of Fosters Group over a three old age period that is from 2002 to 2004 included.The Ratio Analysis technique was used to conduct the report. Therefore, compare with industry averages and coca plant Cola Amatil supplemented the analysis to complement the results.In 2002, it was g ive that profitability had increased significantly compared to 2001, this was mainly due to Fosters group policy in expending its distribution and sales oecumenical and Forsters European partnership which increased its income.However, 2003 showed smaller profitability than 2002 mainly due to a non profitable foreign exchange rate, tough opposition in California, adverse trading conditions in the US and the impact of global events restricting travels, tourism and leisure activities (Swan, 2003 5). Fosters group did and generate greater amount of operating cash flows, and made a considerable amount of acquisitions.In 2004, Profitability ratios did however increase but that was due to the selling off of ALH (Australia Leisure Hospitality) that generated $1.5 billion, Excluding the impact of significant items, interlock profit after tax was $469.4 million, a decrease of 17.4% over the front categorys result (Fosters Audit, 200461).On the three year basis, when compared to the ind ustry averages, the stability ratios are actually lower, but when they are compared to Coca Cola Amatil the ratios are actually similar and even a bout higher. Due to the accumulation of consistent profits over the years, both companies do not need as much financial leverage as other companies would, which reflects the stability of the company. In fact, those companies rely more on honor than debt to generate their assets.Overall, Fosters group is a relatively stable and performing enterprise. The results show that Fosters performance and stability throw off moved in accordance to outside world events. However, the company continues to substantiate its position as a leading group in the beverages industry.II.QUALITY, SCOPE, USEFULNESS,FORMAT AND readability OF THE MOST RECENT ANNUAL REPORT.