Business Analysis Ii

Business Analysis Part II
    September 28, 2011
        Laurie Ryan

Business Analysis
Financial statements are made to show a company’s financial position, performance, and changes
that will be made throughout the company that may deter any economic decisions. Financial statements
should be understandable, relevant, reliable and comparable. Reported assets, liabilities, equity, income
and expenses are directly related to an organization's financial position (Baird, 2007). We will now
evaluate the financial health of Bank of America and how it looks compared to previous years and make a
prediction on coming years. This should demonstrate the financial strength and weakness of the company.
We will also compare Bank of America’s financial statements to JPMorgan & Chase and Wells Fargo to
see how each bank compares relatively to the other financially. After review of each of the financial
statements, much of which will be gained by looking at the pros and cons of each statement, such as what
strategies are used from these statements in moving forward. Not only will we establish a broader range
on how these banks really look financially, we will investigate their approaches on a technological level
and how they differentiate from another and how they relate. Globalization has taken over a wide range of
businesses nationwide, we will take a step closer into seeing how it has affected Bank of America.
Among the comparisons of Bank of America and its fellow competitors, a benchmarking analysis will be
conducted in reviewing best practices, operational processes, and products and services.
All financial statements contain relevant information that is displayed in structured manner. They
typically include four basic financial statements, accompanied by a management discussion and
analysis:1.Statement of Financial Position: also referred to as a balance sheet, reports on a...