Highland Malt Case Study

 

Highland Malt: Accounng Policy Choices in Financial Statements – Case Study and Financial Analysis

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The Payments to Spencer are received in cash, all cash owed to Highland Malt for sales are considered accounts receivable We are going by the assumpon that inventory that has come in rst will go out rst, which is the t he FIFO method Reporng Currency is in US dollars, even though the company is based in Scotland whose primary currency is Pound Sterling which leads us to believe the company is headquartered in USA

Salary cost of Adger is excluded in fixed cost of 230000 USD 30000 USD Salary is not considered for Adger as it is due in 2020 and not accrued in 2019  No financial data for the year 2018 is provided hence the beginning beginni ng balance for all accounts is considered 0

 

Financial Statements

 

Financial Statements

 

Financial Statements

 

Financial Statements

 

Internal Raos of Highland Malt

 

Internal Raos vs Industry Average

 

Conclusion