Using Financial Statements

The next part of your project will require you to navigate to the website of Johnson & Johnson (https://www.jnj.com/) and locate the most recent annual reports. You will use the annual reports to create financial statements. Annual reports for JNJ are usually located in a section titled Investor Relations, Investor Information, etc.

  • Use the annual report to find the total current assets and total current liabilities.
  • Compute the current ratio for JNJ for previous two fiscal years
  • Review reports on data for the last two years.
    • Net Cash Flows from Operating Activities
    • Net Cash used by Investing Activities
    • Net Cash used by Financing Activities
    • Cash and Cash Equivalents at the end of the Years
  • Create a Balance Sheet or Statement of Cash Flows for most recent two years
  • Identify trends with an indication of if the financial statements show a positive or negative for the organization and investors.
    • Use Microsoft Excel to create at least three (3) graphical displays to show the trends (i.e., bar graph, pivot table, histogram, etc). You should include a copy of your graphs in the body of your report.
  • Discuss which year Johnson & Johnson appear to be in a stronger financial position and big differences between the 2 years (Keep in mind that dollar amounts in ( ) are negative or cash outflows).
  • Imagine that this information represents information for your project case. Incorporate or reference financial information in your case to support the report. (see attached)

Summarize your responses in a report using titles from the assignment requirements (i.e., assets and liabilities, cash flows/balance sheet, trends, financial position).

3 PAGES, APA WITH A REFERENCE PAGE