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Financial Analysis Of The Huffman Trucking Company

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For the Huffman Trucking Company, strategic planning has been an important part of their functions for over 60 years. For a company like Huffman Trucking, financial planning is extremely important to maintain their continued growth and their overall health in the long term. When analyzing the financial statements for the last three years we looked and three separate types of financial statements: the income statement, balance sheets, and the cash flow budget, we will also try and make assumptions to identify the various risks involved in a business like Huffman Trucking. When looking at the various financial statements we attempt also review the cash flow statements and attempt to make recommendations on the implementation of various short-term working capital strategies on the long term cash flows, try and find an explanation of different corporate risk mitigation techniques capital budgeting, and make an analysis of what effect capital structure on strategic financial planning, and how it works to affect risks. For long term funding needs, cash …show more content…

The total assets in the most recent year were recorded at $267,265 with the current year liabilities showing at $90,283. (Gitman 2009) This gives the Huffman Trucking Company a short term working capital of $176,982. The current short term working capital of the company is looking very strong. It is showing that Huffman Trucking has the ability to pay off any and all liabilities within a reasonable amount of time. The main objective of a company to stay in the viable column is to make sure that they do in fact have the ability to maintain at their current status. For Huffman Trucking, the short term working capital is looking up. The total assets being a lot higher than that of the current liabilities allow Huffman Trucking to keep their shareholders happy with dividends and good capital

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