Finance-Whether to undertake a project or not Research Paper

Finance-Whether to undertake a get wind or not - Research Paper ExampleAs per the latest audited fiscal statement of the federation (for the financial category ended 201), the company employees more than 164,000 and has more than 70 operational plants worldwide in six continents. ford travels well established business attracts a great deal of consumer base irrespective of demography. The primary business of the company comprises of high end state of the art cars both for the individual as well as for the industrial use. The company, through its resilient and effective marketing tactics, has able to cdisposed(p)ure probatory market shares in the automotive industry worldwide. Following is an extract from the financial statement of the company which presents the accomplishment in the market share of the company for the current financial year of 2011 The company divides its revenue into two broad segments which are through automotive and through financial services. The automoti ve structure is further shared into four segments of 1) Ford North America, 2) Ford South America, 3) Ford Europe, and 4) Ford Asia Pacific Africa. Whereas, the ford financial services are divided into 1) Ford Credit, and 2) Other Financial Services. The company has im proved its asset apportioning strategy and has also rejuvenated its business strategy and global competitive strategy. The proactive approach has resulted in an cast up of 5.7% in sales revenue from the automotive and financial services business. The financial year 2011 proved to be another progressive year for Ford Motor Company. During the current year, the companys revenue change magnitude by 5.7% during the current year to an impressive $136,264 million which has caused the operating profit to increase by a staggering 21%. The company, following its growth strategy, aspires transform its operation into multi channel business. The company has taken major steps in investing its direct sales business which enhan ced the revenue during the current financial year. In addition, the company is actively following its strategy of refurbishing its plants and giving them a new and improved look. The regaining has resulted in an increase production capacity and has created a more opportunities for the company. The following table compares the financial results of Ford Motor Company, for the financial year 2011 with that of the year 2010. As quite evident from the above comparison, the financial panorama of the company has improved. The increase in group revenue primarily pertains to the increase in like-for-like sales as well as the addition of new plants and outlets, both in and outside of North America. Since Ford Motor Company do a significant number of its sales overseas, the companys revenue is majorly increased due to the fluctuation in exchange rate. Although the recent credit crisis and global economic meltdown proved to be a hurdle, but the impact was offset by prudent risk management and apt allocation of capital investment. The gross profit to sales ratio for the year ended December 31, 2011 was 6.37% which has change magnitude by notably during the current year. The increase in the profit is due to the fact that during the current year the company did not spend any exceptional cost which it incurred during the prior year on strategic restructure. In addition, the company took strong measures to control its finance cost during the