ANALYSIS FINANCIAL REPORT MIRDAH (46110056)

OPERATION CASH FLOW RATIO TO

CURRENT LIABILITIES

M I R D A H

461 10 056

3B D4

POLITEKNIK NEGERI UJUNG PANDANG

Operation Cash Flow Ratio to Current Liabilities (OCFRCL)

Definition of Financial Statement analysis

Analysis is solve/describe an unit becomes various unit most little, while financial statement is balance, income statement,and cashflow. So, financial statement analysis is describing financials statement post become smaller information unit and seeing the relationship that signifikan's character or has meaning  between one by another one  with kualitatif’s data and also non-kualitatif  to know the financial condition for making decision.(Sofian Syafri Harahap).

Cash Flow Analysis

Cash Flow is statement abaut cash inflow and cash outflow from operation activity, investment activity, funding activity as one period

According to White, Sondhi, and Fried (2003) that cash flow statement  hope to help predict firm ability to increases cash of operate for currently.

Cash flow statement  need at analysis  to estimate firm ability result cash so creditor trust, investor, and another partner kept stay by company.

Cash Flow Analysis Method

v  Horizontal analysis

v  Vertical analysis (Common-size)

v  Cross-Section

v  Ratio analysis

Ratio Analysis

            Ratio analysis there are :

o   Operation Cash Flow Ratio to Current Liabilities

o   Operation Cash Flow Ratio to Total Liabilities

o   Operation Cash Flow Ratio to Total Activa

o   Cash Flow adequacy Ratio (CFAR)

o   Cash Reinvestment Ratio (CRR)

Operation Cash Flow Ratio to Current Liabilities

Operation Cash Flow Ratio to Current Liabilities used to  for measure corporate finance liquidity. Specially, ratio this measures how big resulting operation cash flow for provide current liabilities firm. The greater ratio is the more likuid of the company.

o   Formula :

o   Example

Operation Cash Flow Ratio to Current Liabilities Analysis in  PT United Tractors Tbk.

Years	Operation Cash Flow	Current Liabilities	OCFRCL
2008	4.253.895	7.874.135	0,54
2009	5.101.022	7.225.966	0,71

Conclusion

From this example  show that on year 2008 , PT United Tractors Tbk can provide  cash flow from operation activity  amount  54 % for current liabilities  cover, while on year 2009 PT United Tractors Tbk can provide  cash flow from operation activity  amount  71 %  for current liabilities. This mean that PT United Tractors Tbk  likuid relative.