Essays on Income Statement

Company Profile

Revered as the biggest e-commerce website around the globe, Amazon Inc. is an American multinational entity engaged in e-commerce selling and cloud computing. Founded in the year 1994 by Jeff Bezos, the company is headquartered in Seattle, Washington DC. Amazon is the biggest e-retailer in terms of revenue and market capitalization. Beginning with the modest background of selling books and Blu-Ray DVD’s, Amazon today offers more than billion products and is now operating globally with presence in 19 countries. The company is listed on NASDAQ under the ticker symbol of AMZN and is also the constituent of NASDAQ ...

Mike Mayo takes on Citigroup (A) and (B)

Do you agree with Mike Mayo’s concerns about the extent of Citigroup’s DTA’s? Why or why not? I agree with Mike Mayo’s concern about Citigroup’s Deferred Tax Assets (DTA’s). Citigroup’s DTA’s increased from $4.7 billion at the end of 2006 to $38 billion by the third quarter of 2009. Citigroup would use the huge DTA’s to shield future profits from taxation to a tune of $38 billion. However, the accounting rules require that a firm can only carry the DTA’s if it is reasonably probable that the firm would ...

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Accounting Standard Setting under the Australian Conceptual Framework and Application in Business Practices

Introduction A conceptual framework establishes the concepts and provides the guidelines that underlie financial reporting. As a coherent system of notions that flow from an objective, which in turn serve to identify the purpose of financial reporting, a conceptual framework also provides guidance on the identification of the boundaries of financial reporting. Its concepts further provide guidance on the selection of transactions, related events, and circumstances to be presented, and how such elements should be summarized and ultimately reported (Financial Accounting Standards Board [FASB], 2008). One such conceptual ...

Investment Appraisal

Investment Appraisal This report presents the critical investment appraisal of the new coffee shop venture to be initiated by Tesco Ltd. The report includes a thorough analysis of the café market and industry and also attempts to evaluate the target market and market segmentation. Towards the end, the report also includes the appraisal of the investment and financial analysis of the five-year forecast of the venture.

The British coffee market has grown considerably in the past few years that is evident from the fact that approximately $8 billion was spent by Britons in coffee shops last year. In 2015, ...

Cash flow statement

Note: the profit on the sale of fixed tangible assets (£100,000) was to be included in the income statement. I noticed that it was not included in the income statement.

Cash flows and retained earnings

Despite having retained earnings of £900,000 in the year ended 31st December, 2012, the company had a large bank overdraft. Retained earnings is the portion of the company’s profit that is not distributed. Profit considers that company’s revenues and expenses and does not consider whether the revenues or expenses are in cash. The cash flow statement includes cash items only. Thus, there is a difference ...

Financial Statement Analysis

Introduction and overview: The Apple Inc. is one of the leading companies in the production of smart phones and other latest hardware appliances. The main products of the Apple Inc. are Iphones, laptops, tablets and other small appliances. The Apple Inc. is listed on the major stock exchanges and they have a number of stores all over the world that are providing the best customer relation and increasing the sales. The Apple Inc. is performing business in the technology field and their main competitors are Samsung, HTC, Intel and Motorola. ("AAPL Income Statement | Balance Sheet | Cash Flow | Apple Inc. ...

Land:

Purchase of land will have no effect on the income statement of the company as it is a capital transaction and should be recorded on the Balance Sheet only. However, the condemnation activity resulted in a loss of $9000, therefore, this loss should be reported on the debit side of the income statement as loss from the extraordinary transaction.

Building:

Demolition doesn’t result in gain or loss, hence, it will not have any effect on the income statement of the company. On the other hand, purchase cost of land should be allocated to land account where demolition charges should ...

Discussion

In this report, we will prepare the pro forma income and balance sheet financial statements for The Boeing Company using the percentage of sales method. The financial statements used in this analysis are included in the appendix section of this report. The percentage of sales method is a technique used in financial forecasting and is employed by business entities to predict their annual growth of sales and the amount of financing that will be required for the firm's goals to be accomplished. The sales growth is, therefore, key the to this process and has been determined before the preparation ...

Intel Corporation Financial Statements

Intel Corporation is an American-based company that designs and manufactures digital technology platforms. The digital platforms are used in servers, computers, smartphones, tablets, among other products ("INTC Profile | Intel Corporation Stock - Yahoo Finance", 2016). Other products include microprocessors, security solutions, connectivity and communication products, among other products and services. It major segments are the Client Computing Group, Software and Services, Data Centre, Internet of Things Group, among other segments ("INTC Profile | Intel Corporation Stock - Yahoo Finance", 2016). This paper uses the income statement and the balance sheet of Intel Corporation as at December 26th, 2015 to prepare ...

In reference to your request for analyzing the financial statements of AS Company S.A Commercial Industrial Computer & Toy Company, I am highlighting some of the areas where the management is discretion is highly possible and can influence truthfulness, materiality and usefulness of the financial statements.

Referring to the income statement of the company, we found that the company has directly reported the operating income, however, there isn’t any discussion available for the operating expenses and operating income. This is a direct violation of IFRS standards for the preparation of financial statements and gives a clear opportunity for the ...

Value Chain

The objective of analyzing Monster’s value chain is to make a product that will become popular to its customers, which includes not only the production segment but also marketing and distribution (Horngren and Data, 2015). This is because products will eventually need to be discontinued due to changing customer preferences and product innovation from competitors. This means that the company’s core operations and its products must continuously evolve and this could be done using the value chain analysis tool. For an energy drink company like Monster, one of its main goals is to continuously adapt to the ...

PART A

Question one Apple Computer was incorporated in 1977 to design, manufactures as well as marketing mobile communication and media devices (Reuters.com, 2016). Moreover, it also sells different related software, and third party digital applications. Its products are iPhone, Apple television, iPod, Mac, both consumer and professional software applications, iOS and OSX operating systems. The Apple computers Inc. provides a variety of mobile communications, personal computing products, and portable digital players.

Question two

The operating performance of Apple Inc. relies on the general economic conditions. Therefore, for the last four years (1999 to 2002), the demand for the Apple's products has been ...

This paper is a review of the book titled, Finance for nonfinancial managers: 24 lessons for understanding and evaluating financial health, by Katherine Wagner. The book will help managers from non-financial background to understand the languages and techniques used in finance. It can enhance the participation of these managers in financial matters and decision making. Complex financial lessons are presented in a form that could be understood by people from non-financial backgrounds. (Wagner, 2005) The first chapter of the book reviews basic terms used in recording, classifying and summarizing financial transactions. Knowing these terms will help the manager to ...

Business

Financial Analysis The financial condition of the company, which is evident from balance sheet, income statement, and cash flow statement, is indicative of the fact that the financial strength of the company is satisfactory. The horizontal analysis of balance sheet of Lowes Company is also showing improvement in performance of the company. Such as it can be seen from the Horizontal and vertical analysis that account payable of the company has increased, which means that there is improvement in payment of debts, and total shareholder’s equity of the company has also increased. Similarly, the horizontal analysis of income ...

Introduction

Multinational corporations across the world usually consolidate and present their operational results in financial and non-financial terms at the end of every term, usually a year. The financial aspect of reporting is supposed to comply with a clearly prescribed set of regulatory standards. The adoption of the International Financial Reporting Standards and GAAPs was meant to ensure that all compliant firms across the world produce financial statements that conform to the industry specific reporting frameworks and thus achieve a degree of uniformity in reporting. Different firms in operating in multiple locations operate under the strict guidelines of the specific ...

According to the horizontal analysis of income statement, net income has been increased $837,000 in 2015. Amazon.com margins increased at a faster rate than expenses. The cost of revenue increased 14% in 2015 as against gross profit increasing 35%. Amazon.com did not incur any environmental expenses in 2013. The company also focused on reducing debt. As a result interest expense is 0. Vertical analysis of income statement shows that the company focused on increasing expenses along with increasing revenues. Additionally, Amazon.com also reduced debt and interest expenses in turn. The previous caused gross profit and net income to ...

Description of the company

Woodside is an Australian gas and oil company that explores, develops, produces and supplies oil and gas. The company is composed of a portfolio of world-class producing assets, projects and develops in Australia and globally. The company has maintained a strong performance despite the challenges. In December 2015, oil prices reached an 11-year low. The Chairman’s report shows that he is optimistic. The proposed Browse Floating LNG (FLNG) is expected to improve the company’s income. Despite the falling oil prices, the company is confident of a sustainable growth and high returns on shareholders’ investment. It has taken ...

About the report

The objective of this report is to assist One-World Investment Consortium, who is planning to invest £150 million in Thomas Cook PLC, a British global travel company listed on the London Stock Exchange under the ticker sign of ‘TCG’. We duly understand the impact of our professional recommendation on Consortium’s final decision making related to investment, and therefore, we intend to be comprehensive in the approach our analysis. As for the structure of this report, it will be a two-part report. In the first section of the report, we will evaluate the past 5 year(2007-2011) financial performance ...

Closing Entries

What are the reasons for closing entries? Closing entries are passed so that each year the accounts can be started from zero balance so as to prevent overlapping of transactions of one accounting period to another.

What accounts are closed?

The accounts related to income and expenses are closed. In simple words nominal accounts are closed. Either these are transferred to trading account or profit and loss account. Personal and real accounts are carried forward to balance sheet.

How are closing entries done?

Closing entries are journalized and posted to appropriate ledger accounts in order to do close the temporary books. Following steps are followed in order to ...

Paper Outline

The objective with this paper is being written is to provide a comprehensive discussion for IAS 16-Plant, Property and Equipment and IAS 40-Investment Property. It is considerable that many a times, be it academicians or nascent professionals, appropriate accounting for property under the provision of IAS has always been the source of confusion. Therefore, this project will detail all the major provisions under IAS 16 and IAS 40 and how each of them differs from each other. As part of this paper, we will first individually detail both the accounting standards and will then illustrate the differences using appropriate ...

Assumptions

In the preparation of the above ProForma income statement, the following assumptions have been made; The base year for the ProForma income statement is 2015 as presented by the data on YAHOO finance (finance.yahoo.com).

All revenues to the company will grow by 12% for the next 5 years beginning 2016.

All expenses incurred by the company will grow by 10% for the next five years beginning 2016. The growth in expenses is attributed to the growth/increase in revenues generating activities.

Income tax expense and interest expenses will grow at the same rate as all the other expenses

The company will not make significant capital investments within the period represented by the ProForma statement. All the above assumptions have been made to help predict the possible income that will be earned by Tesla ...

The airline industry is considered to be highly competitive and therefore airline company managers will need to determine the relevance of their current ERP systems with regards to the applicability of the financial information it generates. This is because the same quantitative and qualitative information is used for both financial and management accounting. However, the main goal of a company is to generate better profitability for its owners while remaining sustainable. This is done by controlling costs while improving revenues through the use of budgets and the standardization of costs and results to variances, which are primarily under management ...

Abstract

Performing the comprehensive analysis of the financial situation of AMC Entertainments, we have gained an optimistic review for the entity. Strong profitability driven by revenue growth and controlled cost structure will enlarge the podium of success for the company. On the other hand, high amount of operating cash flow growth, and a prudent spending on capital assets and dividend payment, indicates a sustainable approach of the company for maintaining balance throughout. Similarly, a sustainable proportion of debt-equity is apt according to the recent financial strength of the company and do not spark any source of concern. However, two issues ...

Abstract

Performing the analysis for this milestone within the purview of profitability and cash management efficiency using the traditional financial ratios and horizontal analysis, we have gathered a useful insight into the financial position of the company that confirms bullish run in the company. We initiated the analysis with the calculation of profitability ratios and found that owing to increased revenue figures and most importantly,controlled cost structure for cost of goods sold and operating expenses, the company was able to generate higher operating and net profitability compared to the previous year. Moreover, during 2015, the company was also able ...

Finance

About the paper The objective of writing this paper is to perform an in-depth yet succinct analysis of the financial statements and Management Discussion &Analysis (MD&A) section of Procter and Gamble (P&G). The attempt made will constitute a one-run discussion of all the financial statements and MD&A section within the accounting framework and a format of an accounting paper. The conclusion will thus assist our readers as how the company has performed during the recent years and how the management access their financial performance. However, before we initiate the core discussion, we will provide a brief discussion relating to ...

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Balance Sheet A balance sheet summarizes a firm’s financial position at “a specific point in time.” Explain why the phrase, “a specific point in time,” is important. What can change? The phrase emphasizes that the net value of the company is shown at a specific point in time and it may change later on. The changes can be due to increase in cash on hand from profits or investors’ infusion; damaged merchandise, materials, equipment or facilities; payment of taxes or regulatory penalties.

List two or three typical assets that a business may have and two or three typical liabilities.

Assets can be cash, finished goods, collectibles from customers, etc. Liabilities can be ...

Company Analysis: 3M Co

The objective of this paper is to perform the 5-year financial analysis of 3M Co. As part of this analysis, we relied on the comparative analysis between the major financial item in order to understand the rising trend and to track performance indicators. The conclusion is to unearth the overall performance of the firm over the period of 5 years from 2011 to 2015. Beginning with the revenue figures, the company witnessed a modest compounded annual growth rate of 0.39% during the past five years. However, during 2015, the company witnessed first ever revenue growth decline of 4.86%, which ...

Company Analysis: Woolworths Limited

About the paper The paper is targeted to perform the qualitative and quantitative analysis of Australia’ largest retailer, Woolworths Limited. In this paper, we will be discussing the past five year performance of the company from qualitative as well as quantitative perspectives. As part of the qualitative part, we will be commenting on the company’s position in the industry and recent stock price movement. On the other hand, quantitative part of the report will deal with the discussion of the trends in the financial statements of the company followed by ratio analysis. The report will further proceed with ...

Question one

The coca cola Enterprise was incorporated in Delaware 2010. Additionally, it is a publicly traded firm that is listed in New York Stock Exchange. It is a marketer, distributor, and producer of the nonalcoholic drinks of Coca-Cola Company via a licensed territory agreements in Belgium, great Britain, Monaco, and Sweden (2015 Annual Report:23). The coca cola Enterprise Inc. acts as the anchor bottler in West Europe, and North America. The products of Coca-Cola Enterprise Inc. are Diet Coke, Sprite, Fanta, and Coca-Cola among others. Its primary strategy is to be the bottling partner in Western Europe as well as ...

Sources of capital

The sources of funds for the company are divided into two categories means that the company is going to collect funds from two sources. These two sources of funds include debt and equity. The company is going to receive total long term debt of $13,000 from the financial institutions. Apart from debt, the company is going to receive capital from the equity holders as the company is going to issue 100 preferred stocks and 100 common stocks at the beginning of the business. This long term debt and capital from equity will be the major sources of the ...

Finance

About the report The report is commissioned to propose a sales pitch for Nike Inc. to a group of investors who are looking for a company that is poised for growth on a fundamental basis and suits the long-term investment horizon. The recommendation will be based solely on the company’s financial and recommendation of the market analyst about the company.

About the company

Founded in the year 1964 as Blue Ribbon Sports Inc., Nike Inc. design,develop and market sports apparel and athletic footwear. The company leads the industry with sales volume above $30 billion and market share at 21.6%, followed ...

Executive summary

The stock price of Southern Cross Media Group Limited did not show any reaction to the announcement of the 2015 financial results. The stock price increased days before the announcement and the day after the event but declined two days after the announcement. Financial analysis of firm indicates that it has a strong liquidity, and this has improved over the last five years. Its debt to equity ratio has increased due to the capital reduction in accordance with the relevant statute. The year 2015 saw a decline in the profitability of the company although this did not affect the ...

Business

Question 1 In this case, the first loan agreement was between Agile Corporation and Hi Finance Company. The collateral attached to the loan protects the interest of the lender (HFC) such that if the borrower defaults, the lender can use the collateral against the amount borrowed. When a party enters into such transaction and a valid agreement is made, the transaction is secured. HFC, being the first lender, is referred to as the senior lender and has priority over the collateral. Metro Bank is the second lender hence the loan is junior to that of HFC. The interest of ...

The purpose of this report is to provide a brief analysis of the financial statements and ratios calculated of CoolSprings Furniture. The analysis is essential to make rational decisions that are important for the growth of business. The analysis determines the actual financial position of the company. The analyses for different parts of the financials are categorized in each section below.

Transactions

The weekly transactions of CoolSprings show that there are high cash inflows and cash outflows in routine activities such as paying off expenditures, fulfilling short-term obligations, and receiving cash on sales. It shows that the company relies on ...

Introduction

In the recent days, consuming a soft drink is part of daily living because people need beverages to deliver the great taste, inspiration and hope. They also want non-alcoholic beverages for stimulation and refreshments. However, soft drinks sectors are flourishing industries since the provide refreshment, soft drinks that are in high demand almost in every nation. This industry started in the 1770s and it captures domestic and global markets. Additionally, firms that are in soft drink industry are under intense competition as they try to emerge as the overall players in the world market. Therefore, the key companies in ...

IBM Projected Financial Statements

Income Statement IBM has five reporting segments namely: Technology services and cloud platform, Global Business Services, Cognitive Solutions, Systems hardware and Global financing (IBM). The assumptions of the projected income statement are as follows: Technology services and cloud platform that accounts for 44.92% of all revenue is projected to grow at 14% as more businesses sign up for the service, and an increase in the services through partners such as VMware and GitHub Global Business Services that accounts for 22.46% of all revenue is projected to grow at 8% as the business shifts its focus to cloud, analytics, security, ...

IFRS and US GAAP: Similarities and Differences (Financial Assets)

IFRS and US GAAP: Similarities and Differences (Financial Assets)

Introduction

The US GAAP (Generally Accepted Accounting Principles) is a set of accounting standards followed in the United States. With the emergence of internationalization, cross border flow of capital, people, cultures, and ideas became very common and the situation in turn contributed to the rapid growth of multinational corporations. Since different countries followed different accounting standards earlier, it was very difficult for MNCs to record their financial/accounting transactions in a unified manner. It persuaded regulators and businesses worldwide to think of a globally recognizable accounting standard leading to the development of ...

The economic uncertainty, the increasing regulatory pressure from the government and other entities as well as the rising competition leads to the escalation of merger and acquisition in the health care industry. In recent years, the health care industry has been affected by new federal and state laws that aims to improve health care services. While new health care policies and regulations has become beneficial to patients, it has caused a great economic strain, especially among smaller health care entities. This leads to the decision among many hospitals and health care institutions to align with other health care system. ...

Business Report

The A2 Milk Company Statement of Academic Honesty This assessment has been written by me and represents my own work. This work has not been previously submitted. All sourced information has been appropriately acknowledged and ARA referenced. I permit this assessment to be copied for academic processes (such as moderation). I have retained a copy of this assessment electronically.

Part 1 – Introduction

1.1 What is the name of the Entities Reporting (Quote the page number from the Annual Report)

Answer:

The name of the entity reporting is company FMC. It is created for the purpose of part 7 of the Financial Markets Conduct ...

SUMMERY

INTRODUCTION The manufacturing sector, production means making a product either by using a machine or hand or both. It’s a component of goods producing industry. Unlike trading or service businesses that buy products and sell at a higher price to make the profit, manufacturing instead make products that they finally sell. Manufacturing companies that produce and sell goods needs an accounting system that does not solely look at the accounting aspect only but also sale and purchase of the goods. By this, the accounting system for the manufacturing industry is more complex than the service sector does not ...

In cash basis of accounting, revenues are stated on the income statement in the period that the cash was received from the clients. Similarly, the expenses are also recorded on the income statement at the time customers are making cash payment (Warren, Reeve & Fess, 2009). On the other hand, the accrual system report revenues only when they are earned on the income statement. Additionally, this always occurs before the reception of cash from the clients. Moreover, expenses are recorded during the periods of their occurrence or when they expire. That is the period from the date of payment. However, ...

EXECUTIVE SUMMARY

Ratio analysis is one of the most common methods of analyzing a company. They are simple to calculate needing only public information from financial statements. The purpose is to use past relationships of financial accounts to predict future results. Perhaps the most important ratios involve operating income. ROE, gross profit margin, operating margin, and net profit margin give information about how the company achieved results in the past. Of these, operating margin is the most important. This ratio demonstrates a company’s ability to generate income from normal business operations. Look for at least a 10% margin. Extraordinary items ...

Abstract

Phillips Morrison International is one of the most iconic brand in the tobacco and cigarette industry. Rated as the most innovative company in the industry,over the years, Phillips Morrison has diverted their focus on emerging markets that account for 80% of the global demand,while the westernized consumers are being introduced to next generation products. However, the focus of the company remains in Asia Pacific region as it looks to target growing population of India, China and other Asia Pacific regions. Even on the financial terms,the company is performing better than its core rival, British American Tobacco ...

1.0. Introduction Founded in 2003, Tesla Motors has undergone excellent growth in many aspects such as company size, profitability, product line, etc. Based on gradual progress, now the company has grown into one of giant industry players. It mostly deals in electric cars and trains with more focus on former (The Case, n.d.). This report sets out to analyze the company’s current strategies relating to its product line and future prospects of growth and identify the areas for improvement. In the final section, the consultant recommends the most practical strategy to the company directed towards raising its competitive ...

The Coca-Cola Company

The Coca-Cola Company is the largest leading marketer and owner of non-alcoholic beverage brands, and the largest distributor, manufacturer, and marketer of syrups and concentrates used in the production of non-alcoholic beverages. The firm owns or license and market 500 or more non-alcoholic beverage brands, majorly sparkling beverages but also several still beverages such as enhance waters, waters, juice and juice drinks, energy and sports drinks, and ready-to-drink coffees and teas. Finished beverage products that portray the companies mark, sold in the United States from 1886, are currently sold in more than 200 nations. Coca-Cola Company markets and owns ...

Accounting and Recording

Summary Financial accounting and reporting is a mode of communication used by different companies to communicate with the investors. This study uses two modes of accounting and reporting recognized by the international accounting and reporting body. The two methods used in this study are the Handelsgesetzbuch, HGB, which are the German commercial code and the US GAAP. The two multinational firms used in this study are from German and USA but operate in the global market. The German firm has its headquarters in Germany but operates in the international market while the USA firm also has it’s headquarter ...

Evaluation of Corporate Performance: Apple Inc.

Apple, Inc. is a U.S. based company that has its registered office in Cupertino, California. The company has a long history of innovative progression and it will not be wrong to state that the company has changed the ways of telecommunication. It has opened up new arenas of technology development and competition between electronic companies has become fierce in the last 15 years or so due to the company’s ability to develop new and unique products. The company sells computers, laptops, hard drives, tablets, music accessories, phones, etc. The company has its own operating system that runs on ...

Corruption as a Political Risk in Business

The global economy has shown good signs of recovery from the previous recessions that have been witnessed by leading global economies of America, Russia, China and Japan. Despite this strong and healthy economy, there are emerging issues of vulnerability of the economy risks associated with foreign exchange transfer, political interference, legal and regulatory risks, supply chain disruption, political violence, sovereign non-payment, financial sector susceptibility, and the inability of local governments to provide stimulus. While the economic sector for both product and services continues to enjoy steady growth fueled by high levels of employment and consumption, the industries have been ...

Introduction

The information relayed by financial statements is the mirror through which an entity is viewed by the owners, shareholders, creditors, the regulatory authorities (governments), potential investors and all other stakeholders. The information obtained from these financial statements forms a reliable basis for the interested parties to evaluate the efficiency, profitability, and general performance of the business in a periodic manner, usually annually, semi-annually or quarterly. This paper seeks to examine the usefulness of such financial statements as the income statement, balance sheet and cash flows for Starbucks Corporation. The income statement is an analytical presentation of the total amount ...

Several accounting transactions occurred during the month of December 20X5 and were as follows:

A withdrawal was made at a value of £15,000 from the business for the personal use of the owner. An existing retail store was purchased by the company for £150,000 on December 1. 10 desktops were purchased at a total cost of £3,500. The purpose of which is for the administrative and retail operations of the business. 10 printers totalling to £500 and miscellaneous computer accessories worth £275 were purchased. The purpose of which is to improve the purchase ordering as well as the selling operations of the business. 5 security cameras and other shop fittings ...

What purpose do financial ratios serve? Why would anyone look at a ratio when analyzing a company? After all, it’s just a number. Actually, financial ratios do serve a purpose. A big purpose actually. By themselves, they don’t tell us much. But when compared against other companies and the industry as a whole, they are very valuable. But we have to remember not all industries are the same. Capital intensive industries like energy are much different than healthcare. What may be a good ratio in one may not be in another. So what can a ration tell ...

Management Accounting

Step 1: Question 1: The total variable cost for the company comprises of manufacturing costs and sales and administrative cost. Accounting both, the total variable costs for the firm was calculated at $10 per unit

Question 2:

The total production costs for any organization is bifurcated as fixed costs and variable costs. Important to note, while the variable costs and output carry a direct and proportional relationship, fixed cost is not related to output level and remains constant throughout. In other words, while the variable costs increase in proportion to the increase in output level, fixed cost does not change and ...

There is a considerable and sizeable population of small business in the US economy. Statistically speaking there are over 28 million small business that occurs with small business specifically indicating businesses with fewer than 500 employees. Over 22, million individuals are self-employed without any additional payrolls or having employed other persons. Of the working population, a considerable percentage of over 50% that translates to 120 million individuals work in the small business (US statistics and data, 2016). Small business on average have modest turnovers that attract income taxes on the cash generated. Business entities are relevant in the generation ...

In the current century, the accounting and finance field have witnessed increased efforts to converge accounting standards to globally accepted universal standards. The fact owes to the dire need of increasing comparability of the financial statements of different firms in the various countries. Undoubtedly, there exist key areas of departure in different accounting standards applied in different countries. Of more interest, is the difference that exists between the two dominant accounting systems used by various corporations around the globe. That is the U.S. Generally Accepted Accounting Principles (GAAP) and the International Financial Reporting Standards (IFRS). It is, however, worth ...

Financial Analysis Project

Target Corporation is one of the largest American merchandise retailers. As of January 31, 2016, it operated 1,792 stores in the USA. It is also a component of the Standard & Poor’s 500 Index. The company earned a net income of $3,363 million in 2015 compared to a net loss of $1,636 in 2014 (Target, 2016). Horizontal analysis involves comparing each item on the most recent statement with the related item on the earlier statement in terms of amount and percent of increase or decrease (Warren, Reeve, & Duchac, 2009, p. 585).

Horizontal Analysis

Horizontal analysis of Target’s ...

Executive Summary

The paper discusses different topics related to the field of corporate finance and how the same will impact my future career, during which I plan to work as an equity investor. Beginning with the paper, I first discussed the importance of the financial statements and what information they reveal about the company. However,more than reading these financial statements, it is important that we learn how to study the financial statements using the tool of common-size statements and financial ratios as these tools help us in evaluating the trend in the financial standing of the company. Thereafter, I discussed ...

Part. 1 Concept introduction and analysis

Introduction This report presents a proposal for a restaurant establishment in Clarke Quay in Singapore. The report provides an overview of the proposed location and the market trends identifying the suitability of the proposed concept. To achieve that, the proposal involves analysis of the target market and the financial prospects of the business deciding on whether the model is viable.

Restaurant concept

Generic strategy The restaurant will have a premium pricing given the target customers it will be serving in Clarke Quay. The customers are mainly professionals and visitors with substantial income to afford the premium price for the food items ...

Lan, J.Z. (2012). Introduction to Financial Statement Analysis. American Association of Individual Investors. 1.1. 16-20

Summary

There are many users of financial statements that include the management, investors, creditors, government, and employees. This article was targeted at helping investors on how to use the financial statements in order to make informed investment decisions. The article discusses the three main financial statements that firms publish namely; the income statement, the balance sheet, and the cash flow statement. The income statement shows the investors how much sales and income that a company generated over a period of time usually twelve months. The ...

Introduction

The paper is commissioned to perform financial analysis for Nike Inc. As part of this analysis, we will extensively discuss the current position of the company in the industry and how well it is forecasted to survive in the future amid the ongoing developments in the industry. However, the main focus of this paper will be to unearth the financial standing of the company over the recent past two years using the tool of financial ratios. In order to incorporate cross-section analysis in our analysis, we will also compare the ratio multiples with the competitor firm, Under Armour.

About the company

Founded ...

Question 1

Within an organisation, accounting plays an active role to ensure that all business transactions of monetary value are classified, recorded, measured, summarised and reported in an accurate manner by adhering strictly to basic reporting rules such as International Financial Reporting Standards (IFRS) or US GAAP. Accounting rules make sure that financial statements are prepared and reported accurately by complying strictly with all reporting principles. Additionally, accounting steps confirm that all financial information is included in reporting mechanism while financial statements contain no error or any material misstatement having huge financial consequences. When the industry follows one accounting mechanism, it ...