Final Test English Accounting

FINANCIAL STATEMENT ANALYSIS

_{SHORT TERM DEBT TO TOTAL DEBT RATIO}

_By 

_{Wahyu Fadhyllah}

_{361 10 027}

 

Definition of Financial statement analysis:

1. Interpretation of financial statement 
2. Integral part of business analysis

How to Analisys?

1. Screening
2. Understanding
3. Forecasting
4. Diagnosis
5. Evaluation

Important of analysis

•   Identify industry economic characteristics  
•   Identify company strategies  
•  Assess the quality of the financial statement 
•  Analyze profitability and risk  
•  Value the firm

Analysis Method

1.  Business Analysis 
2.  Liquidity Analysis  
3.  Profitability Analysis 
4.  SOLVABILITY ANALYSIS  
5.  Cash FlowAnalysis 
6.  Bankruptcy Analysis  
7.  Investment Analysis

SOLVABILITY ANALYSIS:

•   financial leverage ratio
• total debt to total capital ratio 
• total debt to equity capital ratio 
• long-term debt to equity capital ratio 
• SHORT-TERM DEBT TO TOTAL DEBT RATIO 
• Common-Size Analysis

SHORT-TERM DEBT TO TOTAL DEBT RATIO

Shows the composition of debt financing,

Formulation:

Short Term Debt to total Debt = Short Term Debt/Total Debt

Financial data of
PT. Polychem Indonesia Tbk

Year	Short term debt	Total debt	STDTDR
2006	451.112.000	2.734.524.000	0,16
2007	692.515.000	2.841.380.000	0,24
2008	1.435.701.000	2.844.075.000	0,50
2009	1.299.925.000	2.629.538.000	0,49
2010	1.362.587.000	2.516.787.000	0.54

CONCLUSION

According to financial statement analysis,we can indicated that PT Polychem Indonesia Tbk has positive trend in solvability year by year.