ABSTRACT
ANALYSIS OF TESCO’S 1999 ACCOUNTS Substantial extracts from the 1999 accounts of Tesco pic are set out on the next several pages (pages 258 to 264). Please study them carefully in order to prepare a financial analysis. The steps needed are as follows:
• Study the overview analysis (this page, top, from Section 2, page 22). • Study the five-year cash flow summary (this page, foot, from Section 10, page
188). • Study a segment analysis (prepared from Tesco’s Note 1, not reproduced). • Analyse the financial ratios for 1998 and 1999. Worksheets are on pages 265 and
267, and our worked solutions appear on pages 266 and 268. • Prepare amended financial ratios for 1998 and 1999 after adding back
(capitalizing) goodwill written off against reserves and providing for amortization. The worksheet is on page 269 with an explanation. Our worked solutions appear on page 270.
