Essays on Accounts Receivable

Introduction

The report discusses the outcome of the financial analysis of Fresh Fashion for the period of three years beginning 2014 .As part of this analysis, we will exclusively focus on liquidity assessment, and inventory and account receivable management of the company. While the sole objective of framing this report is to appraise the investment opportunity in the company’s stock, however, since we are only using financial ratios as the tool of assessment, we will also discuss some of the limiting factors of financial ratios.

Ratio Analysis

Financial ratios allow us to transform raw financial figures into useful multiples, which can ...

Procter & Gamble is a Multinational consumer goods company which was incorporated in 1905 in Ohio, United States. It manufactures several consumer products and offers around 65 different brands under several product categories such as “Beauty; Grooming; Health Care; Fabric & Home Care; and Baby, Feminine & Family Care” (The Procter & Gamble Company, 2016). The company sells its products in almost 200 countries and conducts on-the-ground operations in almost 100 countries.

Balance sheet

P&G follows generally accepted accounting principles applicable in the Unites States for presentation and preparation of its financial statements. Much like other publically traded companies, P&G also electronically files its annual, ...

TeleTech Holdings, Inc. (TTEC)

TeleTech Holdings is a technology services company whose main business is the provision of telephony services to businesses. The company operates call centers and BPO centers through which it connects customers to their companies. Through the provision of the telephony services, it creates a lasting customer experience, which in turn results in growing revenues and profitability of the companies that it represents. The various industries that it serves include the automotive industry, financial services, healthcare, government agencies, e-commerce entities, and the hospitality industry among others (TeleTech Holdings, 2017). In light of the above brief on TeleTech Holdings, the objective ...

Question 1: Why Cartwright Lumber Company needs cash

Despite the profitability of Cartwright Lumber Company, it still faces cash flow challenges. The financial statements indicate that the company has a low balance in its cash account. Profitability does not necessarily mean the firm has a stable cash flow. The income statements indicate that Cartwright Lumber has been profitable in each of the years from 2001. The net income has increased from $31,000 in 2001 to $44,000 in 2003. However, its cash balance has declined in each of the years. Large sales and profitability do not automatically translate into cash flows. The company has large balances ...

Abstract

In healthcare financial management, health insurance contributes in determining the healthcare services. The fee schedule provides a list of charges reimbursed for service providers and suppliers. Center for Medicare services, CMS, uses the fee schedule to determine the facilities and non-facility in healthcare provisions. Physicians, ambulance and medical equipment services among others help in the determination of the fee schedule by Medicare Physician Fee Structure (MPFS). The study focuses on CPT code 99214-office visit as the reference in the service delivery by the center of Medicare services. The Medicare and Medicaid rates are essential in determination the fee schedule. ...

Organizational Chart

There are three types of decision making which are taking place at the different level of organization. At strategic level of decision, an overall picture of accounting information is needed which basically involves financial report such as balance sheets and income statement (Dichev, 2008). At functional level organization-level decisions that carry day to day, operations are taken. At functional level accounting data input and maintenance take place.

Q2. Users and Purpose of Accounting

Solution: Accounting refers to the recording of the transaction which includes the detailed examining of all the budgeting proceedings (Riahi-Belkaoui, 2004). The basic function of accounting is to provide all the information ...

Adjusting of entries takes place at the end of accounting period. Adjusting entries is necessary because the dates on which actual transactions occur and thereby the dates of normal entries not always coincide with the date respective to the principles of accrual accounting and revenue recognition. There are two categories of adjusting entries. One of the categories is deferred revenues and expenses. Such adjustments are needed in case there has been a cash flow in the past, but respective revenues or expenses must be recorded now. The second category is called accrued revenues and expenses. In this case there ...

Significance of Accounts Receivable Practice

The most primary element for the success of a business is the way in which the systems of accounts receivable management, collections and billing are maintained. Often, this type of management collectively is known as the system of collections management. The main key to the success of this system is to manage it diligently. It is because having large amount of customers is not enough to run a successful business; revenue needs to be collected from these customers (Clarke, 2016). There are a number of reasons for a business setting up the accounts receivable in a given organization. When ...

Introduction

This paper seeks to conduct an in-depth financial analysis for the hypothetical entity Horniman Horticulture with a specific focus on highlighting the overall financial health and performance of the business over the period between 2002 and 2005. The analysis will be centered on selected ratio analyses, increasing and decreasing financial situations over the periods and situation analysis. Over the period under review, the financial performance of the business has exhibited various trends evidenced by the results reported for each year. For instance, the total annual revenues for the business have gradually increased over the four-year period from $ 788,500 ...

(Tutor’s Name) (Assignment)

While analyzing the financial performance of Apple in 2015 in comparison to 2014 fiscal period, it seems that the company has improved its overall financial position. According to the Annual Report 2015, in 2015 fiscal year, the organization achieved revenue of US$233.715 billion and operating income of US$71.230 billion. The company also attained a net income of US$53.394 million in the same financial period (Apple Annual Report 2015). In 2015, Apple’s current ratio is more than 1 (1.11) and it indicates that the organization’s current assets are adequate to pay ...

2.6. Financial Analysis AP Moller Maersk is one of the renowned company in its industry and has been known to provide sustainable returns to the investors. However, the main aim of the financial analysis is not only to provide analysis relating to the company’s profitability, but also to provide an exploratory analysis and evaluation of the performance of APMM. More specifically, the analysis is based on four key qualities affecting the market value of a business, assessed by using traditional financial indicators. The analysis evaluates performance of APMM in liquidity, profitability, leverage and activity over the past 5 ...

JPMorgan Chase & Co is a commercial and an investment banking institution based in the United States. It was formed in 2000 when Chase Manhattan Corporation merged with JPMorgan & Co. It is one of the oldest and well known banking institutions in the USA and leads in investment banking, commercial banking, small businesses and financial services for its customers (Weston, Mitchell, & Mulherin, 2013). The company operations in the recent years is characterised by increased international activities and operation in its business. It is divided on business segments on a line of business. The parent company is the head office where ...

Revenue Cycle Training Opportunity

Introduction Accounts receivable (A/R) refers to revenue owed by client and third party payers. Its main objective is to minimize the duration that accounts are outstanding. These accounts are stated as short-term stakes and unsecure promise that the recipient will pay in future. A plan is made in the accounts of the institution to balance accounts receivable that are not met as losses. To minimise this loss a well organised insurance A/R staff is put in place. The purpose of this report is to analyse the best way to come up with a competent training program for insurance A/R ...

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 ...

Financial Accounting

[Student ID] [Section No.] [Submission Date]

Computations of the 2014 liquidity ratios for Coca-Cola and PepsiCo

The computations of the 2014 liquidity ratios for Coca-Cola and PepsiCo, including the current ratio, accounts receivable turnover, average collection period, inventory turnover, days in inventory and current cash debt coverage, are provided below.

The 2014 liquidity ratios for Coca-Cola and PepsiCo

According to the above-performed analysis, PepsiCo had better liquidity ratios in 2014 comparing to Coca-Cola’s financial performance in this regard. Thus, PepsiCo’s liquidity ratios, such as the current ratio, inventory turnover and current cash debt coverage, are significantly larger than Coca-Cola’s similar financial figures. As a result, PepsiCo’s average collection period, as well as the ...

Q1. Accounting standards play a significant role in the financial statements preparation process. The main international standard-setting organization is the International Accounting Standards Board (IASB) headquartered in London. It issues International Financial Reporting Standards (IFRS) which are used in more than 115 countries and is gaining acceptance in other states as well. These standards are also used on most foreign exchanges. Moreover, the IASB also issues framework for financial reporting and international financial reporting interpretations. Besides, the International Organization of Securities Commissions (IOSCO) also plays a significant role in the international standard-setting process. It doesn’t develop accounting standards, ...

In health care, accounts receivables represent due payments from patients for services offered and payments due from insurance companies (Ferenc 169). The accounts receivables constitute the largest part of hospitals current assets in a balance sheet (Ferenc 169). Hospitals employ resources that cost money in offering services to patients hence they require an adequate cash flow. Patient statements and claim forms are prepared for billing after patients have received medical services. Managing the accounts receivables in a hospital requires an effective system that captures all the events in the accounts receivables’ cycle (Ferenc 172). The cycle begins with the ...

Profit Wheel Analysis

Cash Wheel This part of the profit wheel is composed of the operating cash, inventory, accounts receivable, and sales. The main question therefore is whether the company has enough inventories, accounts receivable, operating cash, and sales to switch to a private brand of coffee. The answer to which would be a yes. In terms of cash, the company posted an initial cash of 1.121 Billion ITL at the start of the year; the composition of private coffee sales on total sales is continuously increasing month on month and the same goes for the account receivables as well.

Profit Wheel

Sales, investments ...

1. Explain the inpatient and outpatient reimbursement methodology for Medicare as a payer Reimbursement is calculated in outpatient regarding the case date, the contract rate, the fee charged for the services received as well as the percentage of the bill incurred. In patients, however, get a difference at the rate whereby it is calculated as a percent of the incurred cost per diem. 2. Explain the inpatient and outpatient reimbursement methodology for commercial payer For commercial payers the for outpatient, the services are reimbursed using either of the methods; percentage of the accrued charges, the fee for the service, ...

Part One

The Ford Industries Inc’s financial operations have been maintained in accordance with the company’s policies and accounting standards. The auditor’s report or assessment plays a significant role in establishing accurate financial position of the organization. The auditor assessments of the balance sheet help in identifying areas or sources of revenue in the organization. Therefore, the auditor is in a better position to recommend for the implementation of measures to increases the sales volumes and profitability of the organization. The auditor outlined the hierarchy of the company’s assets fair value in the balance sheet. The auditor ...

Introduction

AB Dynamics plc is a company whose activities revolve around industrial engineering. The Group majors in the global automotive test systems market providing advanced testing equipment to the global motor industry. This company’s performance will be analyzed and compared to the performance of 600 Group, which is also in the industrialization engineering industry. The comparison will involve the analysis of ratios so as to establish profitability, asset use, efficiency and effectiveness of the operations (Raiyani, Raiyani and Bhatasna 12)

Performance assessment

The management and the shareholders of AB Dynamics can use the available financial ratios to assess the performance of ...

When the internal audit is being carried out, there are several problems that will be discovered by the internal auditors. One of the problems that will be discovered is the inappropriate keeping of accounts receivables. Accounts receivable should be kept in an appropriate manner to allow the hospital make some follow-ups on the accounts that have not been settled. Due to the inadequate knowledge, then it might be impossible to keep appropriate records of the accounts receivable. When the records of the accounts receivable are not kept properly some of the patients might take advantage of the situation and ...

Introduction

The revenue Cycle helps in managing the billing policies and procedures of an organization. Various steps are involved in this cycle including pre-verifying of insurance, a charge capture system, coding of services, ensuring accurate and timely charge entry, payment posting and managing accounts receivable. Meanwhile when it comes to insurance negotiations, the provider and client can choose to come to an agreement. Additionally, one needs to pay considerations when it comes to charity care and private pay.

Revenue Cycle

Steps in the revenue cycle start with pre-verifying of insurance. In this stage, each client should have a copy of their insurance ...

Introduction

The horizontal and vertical analyses of Starbuck’s financial statement were carried out to evaluate the company’s performance. Data for the year 2014 and 2015 was obtained to help in the analysis. The following is the analysis. 1. Use basic financial analysis to examine any horizontal changes in Starbucks’ accounts receivable balances over time. As can be shown from the above analysis, the company’s net receivable increased from by $152 million from 2014 to 2015. This is represented a positive change of 16.1% . Consequently, this means that the company improved in its operations and was able to ...

Response to Q1a

Strategy 1: Aggressive. As per strategy 1, the Total funds requirements are to be divided into permanent and seasonal requirements based on the premise that permanent requirements are essential and the seasonal requirements vary and hence the permanent requirements need to be allocated out of the total monthly requirements based on Polly’s assessment of short term and long term average monthly requirements as shown below. Strategy 2: Conservative. For Strategy 2, the conservative funding requires Polly to allocate the whole amount to Permanent requirements with long term funds equal to $1,500,000 and the seasonal requirements to ...

6C1-KCN Audit Plan

Business and Industry Conditions Keystone Computer Network (KCN) provides sales and services of microcomputers, software and hardware networking to customers. The industry in which the firm operates is considered as sensitive to the economic environment and highly competitive in nature, with competitors larger than KCN itself. The long-term strategic success of KCN is dependent on the retention and ability to attract qualified and competent information technology (IT) professionals. The annual growth for IT products in the next three years regarding expenditures is anticipated to be 6 percent.

Planning Meetings

The purpose of this section is to indicate the established meetings with ...

Introduction

The AirSec Company emerged as a collective contribution of three graduate engineers who extensively researched and established this particular technology, to combine drones (popularly referred to as UAV or Unmanned Aerial Vehicles) with security systems of enhanced technology. These graduate engineers were able to attain this by use of a minute drone, properly equipped with cameras of very high definitions. The cameras could use particular night observing infra imageries and also the normal light imageries. After periods of development, present time Wi-Fi links were successfully introduced to numerous receivers such as cellular phones.

The core aim of AirSec Limited ...

Income Statement Vertical Analysis

The gross profit as a fraction of total revenue (gross profit margin) was 60 percent in 2012. There was a slight improvement to 61 percent in 2013 and 2014. Selling and administrative expenses was constant at 37 percent of revenues for all the three years. However, other expenses increased by one percent in each year between 2012 and 2014. The income before taxes as a fraction of revenues declined slightly between 2012 and 2013 by one percent before declining by 4 percent to 20 percent in 2014. Similarly, the consolidated net income as a fraction of the revenues declined ...

Winston Financial Group is a factoring firm that provides financing for small and medium-sized companies by purchasing their commercial accounts receivable. Financing provided by Winston Financial Group helps the businesses accelerate the cash flow, thus boosting sales and production of the companies.

Factoring is a financial tool used by the companies, mostly retailers, to turn the accounts receivable into operating cash within a day. Such receivables can be for any services performed or any products delivered by the companies. Factoring is used by the companies to receive instant cash for the customers' invoices in case those invoices can be factored. ...

SWOT analysis is a very helpful method used by organizations and businesses to know their strengths and weaknesses, it is also used to identify opportunities available to the business as well as the threats that the business faces. This tool is important in decision making as it provides the decision makers i.e. the executive board, the management and all other stakeholders in an organization with all the necessary information on what actions should be taken so that the business remains relevant in the ever changing market. SWOT analysis helps the organization to come up with strategies that will distinguish it ...

Question 1

In order to understand why people commit fraud, many companies use the fraud triangle to analyze the attributes, which make people commit fraud. The importance of the fraud triangle is to understand fraud and its significance demonstrated in the Darren Darren’s case. The explanation of why people commit fraud is examined by the use of fraud triangle. It evaluates the circumstances that make employees violate ethical standards and be involved in the fraud cases. Therefore, fraud triangle joins the perceived pressure, perceived opportunity and rationalization to facilitate fraud. The first required attribute is Incentive, motivation, or pressure ...

Following is the list of ten internal controls that the organization should have over the collection of the accounts receivables.

- Accounts receivable collections should be processed on a daily basis - Establishment of the proper information system by the organization - Proper segregation of the duties - Establishment of proper authority level - Constant review of the balances due from the customers so that proper check and balances is to be maintained by the organization - Reminder letters should be mailed to the customers after a reasonable interval of time - Money received in cash form from the clients should be deposited in banks on time - Proper recording of the transactions by ...

Financial Data Analysis. Patton Fuller Hospital.

Total expenses, on the other hand, increased only by 5.9% to $463.3 million in 2012, compared to $437.4 million in 2011. Overall, the increase in expenses was primary driven by increase in Depreciation & Amortization expense (44% increase) and increase in provision for doubtful accounts (10.6% increase). Other expenses increased by %3.1 on average. Significant increase in D&A expenses happened due to serious investments in fixed assets, as vendors started offering discounts. Provision for doubtful accounts increased together with accounts receivable, as more patients started buying services on credit.

The combination of the abovementioned factors allowed company to ...

Discuss how the principles of internal control apply to cash receipts. 

The principles of internal control apply to cash receipts because of the need to monitor and control it. Since cash receipts are one of the most important assets of a company, it is essential that there be policies and formal procedures to monitor and control it. Several principles of internal control are applicable to cash receipts such as assigning a person or persons responsible for the cash receipts and the maintenance of its records, making sure that the person/s assigned to the custody of cash receipts is different from those who keep the accounting records. Moreover, technological controls like cash registers, ...

In this perspective, current assets are assets within the organization that are convertible to cash within a period of 12 months. They are mostly renowned for their high liquidity. Current assets are included in the balance sheet after the noncurrent assets. They are important in measuring the liquidity of an organization. When compared to current liabilities, they show the liquidity position of the organization. Therefore, current assets play an important role in the organization by helping to determine its cash flows in a given period of time. Every organization requires current assets in its routine activities. The performance of the organization ...

Outsourcing is contracting out manufacturing or service operations conducted by the business to reduce costs or to generate efficiency. Companies more appropriate for outsourcing are those involved in restricting and downsizing, decentralized and out of date. Prior to outsourcing consideration should be given to whether it is feasible in light of business objectives and requirements, business plans, expectations and risk and uncertainty. Outsourcing enables a company to be more effective and efficient, reduce costs, lower risks and simplify and streamline functions. In choosing an outsourcing vendor take into account reliability, reputation, cost, references experience and the quality of service. Outsourcing ...

The Horizontal Analysis

In the horizontal analysis of the company, one considers the various line items in the income statements and the balance sheet with similar items in the previous years. Looking at the year 2008, the company did not perform well. In terms of sales, there was a decrease in the sales compared to the year 2007. There was a decrease of $ 897,000 which is 15% of the sales revenue. As a result of the low sales, the company suffered a loss in the gross profit. The profit reduced from $1.6M to $1.4M. When analysing the expenses, the website creation and maintenance is a ...

Introduction

General Motors, popularly known as GM, is one the largest automobile companies in the world. Founded in 1908 in Flint, Michigan, the company is currently headquartered in Detroit, Michigan. GM occupied the number one position in the automobile industry for 77 consecutive years from 1931 to 2007 ("General Motors Company and Subsidiaries" 2015). Currently, it is the 3rd largest automaker in the world. In 2009, due to operational inefficiencies, slowness in the automobile market in the USA and huge overhead costs, GM filed bankruptcy. However, it restored its operation within a year and came back to profitability within 2 years. ...

• Assuming a constant rate for purchases, production, and sales throughout the year, what are Casa de Diseño exists operating cycle (OC), cash conversion cycle (CCC), and resource investment need?

The existing Disenos’ operating cycle (OC)

=average collection period + average age of inventory = (75+ 110) days = 185 days Existing Cash Conversion Cycle (CCC) = OC - average payment period = (185 – 30) days = 155 days Resources needed =cost of operating cycle investment ×CCC365= ($ 26,500,000 ×155)/365= $11,253,425 • If Leal can optimize Casa de Diseño’s operations according to industry standards, what will the company’s operating cycle (OC), cash conversion ...

- Cash Equivalents The company has entered into arrangements with its partnering distribution clients that designated cash accounts to UTIW from receivables from the end clients of its distribution partners. These cash accounts are identified as the company as “cash equivalents”. As of 2013, the company’s cash equivalents were reported as US$ 27.6 million as of January 31, 2013 and US# 37.4 million as of January 31, 2012. UTIW often acts as a customs broker. When the company does this act in behalf of its clients, it pays in advance for customs duties and taxes. These payments ...

Analysis of Company Audit-Risk Using Financial Analysis Tools

Audit risk occurs when an auditor makes an unqualified report of the company’s state of affairs. This results when he or she omits information that is significant in the procedure. An individual could make an error or fraud, thus causing the misstatement (DiGabriele, 2010). These threats are categorized into inherent, detection and control risks. Financial analysis is the process of collecting, selecting, evaluating, and interpreting financial information of a company. This is significant in making investment and financial conclusions (Lanier & Saini, 2008). The analyzed data are used for internal activities of the organization such as appraising employee performance. ...

Amazon.com vs. Industry Averages

Amazon.com vs. Industry Averages Since 2004, Amazon’s online sales have far out-performed its top online retail competitors. By the end of 2012, the company reported $61.1 billion in total sales. Its nearest competitor in the online retail space, Staples, reported $11.8 billion in total sales in 2012 . With such a significant lead over its competitors in total sales, one could assume the company is having strong financial roots. However total sales is only one measure of financial strength. However, to have a deep insight into Amazon’s financial position in the market, a financial analysis against industry ...

Question 3

FASB creates rules for reporting the accounting standards for private and public sector companies. SEC, on the other hand, creates rules to protect the interests of investors, facilitate capital formation and maintain efficient market. Let’s say both the companies do not exist. In such scenario, some of the companies may try to report their earnings in a way to show more profit than actually is. Even it will be difficult for investors to compare two companies by merely looking at their financial statements as each company may use their own financial and accounting standards and variations. Without accounting standards ...

Introduction

With the rise in globalization pressures, it has become necessary for businesses to expand their operational activities and serve more targeted audience or population to capture more market share. Additionally, businesses do this activity to create more shareholder wealth as wealth. In this regard, one of the biggest challenges which financial managers come across is the maintenance of the liquidity position of the business. It is important to every organization to keep itself liquid to keep its credit and counterparty risk to a sustainable level . One of core concepts in this situation is the investigation into the Cash Conversion ...

Britvic Company Financial Analysis:

Introduction: With operations in prominent countries of Europe like the Great Britain, Ireland and France, Britvic is renowned as one of the leading soft drink companies in the whole of Europe (Marketwatch.com, 2014). The Company has been able and successful in setting up a definite portfolio across the markets where it operates. The brands of the Company that have captured its own market include Robinsons, Tango, J2O, drench, MiWadi, Ballygowan, Teisseire and Fruité. The Company also produces and sells famous drinks of PepsiCo Company such as Pepsi, 7UP and Mountain Dew Energy, in Britain and Ireland, as per ...

All rights reserved.

No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning or otherwise, except as permitted under Sections 107 or 108 of the 1976 United States payment of the appropriate per-copy fee to the Copyright Clearance Center, Inc., 222 Rosewood Drive, Danvers, MA 01923, website www.copyright.com. Requests to the Publisher for permission should be addressed to the Permissions Department, John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030- 5774, (201)748-6011, fax (201)748-6008, website http://www.wiley.com/go/permissions.

Printed in the United States of America.

ISBN ...

All rights reserved.

No part of this publication may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning or otherwise, except as permitted under Sections 107 or 108 of the 1976 United States payment of the appropriate per-copy fee to the Copyright Clearance Center, Inc., 222 Rosewood Drive, Danvers, MA 01923, website www.copyright.com. Requests to the Publisher for permission should be addressed to the Permissions Department, John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030- 5774, (201)748-6011, fax (201)748-6008, website http://www.wiley.com/go/permissions.

Printed in the United States of America.

ISBN ...

Financial Analysis: Caterpillar Inc

About the paper: This paper is being commenced with the objective of conducting the financial analysis of Caterpillar Inc. The company which is one of the largest manufacturers of agricultural implements, trades on NYSE under the ticker symbol of ‘CAT’. For the purpose of conducting the financial analysis, we have divided the paper in two parts:

Part 1: This will include common-size analysis of the company’s financial statement.

- Income Statement(Horizontal Analysis): Refer to excel spreadsheet - Balance Sheet(Vertical Analysis): Refer to excel spreadsheet

Part 2: This will include extensive ratio analysis of the financial statements under the following sections:

- Liquidity Ratios - Profitability Ratios - Solvency Ratios - Efficiency Ratios - Valuation Ratios i)Liquidity ...

Explain your rationale for how you set the price of your products in the marketplace.I set the price of my product in the marketplace from the practical approach that is cost-based pricing in which an amount of gain joins the total cost of a product and, the expenditures that were not into consideration previously. The basis of setting up the price of a product in the market does not only serve the purpose of organization’s profitability objectives but it also encompasses volume, ethical, social, image, and status quo goals . What was your strategy around creating new products to meet ...

Question 1

The factor that would be interesting to an investor is the decline in revenue. The management of the company has reported a decline in revenue from the year 2012, resulting from a contraction in the overall PC market as well as competitive pricing pressures. These causes negatively impacted the performance of the company’s major segments. The factor would be interesting to the investor since the primary objective of investors is to maximise their returns. A decline in revenues indicates that the business is experiencing challenges that if not addressed, may have an adverse effect of the future profitability and growth ...

Clarkson Lumber is a young company that needs many sources of finance to keep running its operations. However, recently a bank has denied Clarkson Lumber a financing of $750,000. This is a big loss for the company. The company is highly geared with the leverage of $1 amount of debt for every $1 of equity invested. The current ratio of the company is also in a bad condition signifying working capital difficulties. For every $1 in current liability, the company has only $0.6 in current assets. This situation is very alarming. In future, if the creditors of the company ask Clarkson Lumber to ...

As a child growing up, I was always drawn towards helping those in need whether it included volunteering at nursing homes, running errands for the elderly or babysitting children in my community. After high school, I earned a Bachelor’s of Science in Business degree with a concentration in Management and went on to work at North Shore LIJ University Hospital. While I’m currently employed in the hospital’s accounts receivable department, I have now arrived at a place in my life and my career where I want to continue my studies by earning a Master of Health Sciences degree at Touro University ...

1. What are the main business activities of the selected company? Rosneft is the leader of the petroleum industry in Russia and is the world’s largest publicly traded oil company. Its worldwide business operations include upstream offshore projects, exploration and production of hydrocarbon, refining of crude oil and hydrocarbon, and gas and product marketing. 2. Examine its Balance Sheet. Make a list of different accounts of Assets, distinguishing between Current and Non-Current (Tangible and Intangible), and Liabilities, distinguishing between Current and Long-Term Liabilities. The current asset accounts of Rosneft include cash and cash equivalents, restricted cash, other ...

Summary

This particular section sheds light on the measures used to assess the quality of financial reporting. The framework looks at a company's risk and success factors. The quality of the analysis depends on the inputs put into it. In addition, the quality of the measures used to assess financial reporting varies between companies, and can also be different for a single company for a period of time. Measures that are based on inventory suit retail businesses, measures that are based on depreciation suit capital intensive companies, and measures that are based on off balance sheet reporting are best suited to financial institutions. ...

Executive Summary 3

Sony's financial statements analysis 4 Sony's financial ratio trends analysis 6 Stock data 11 Recommendations 15

References 18

Executive Summary Sony Corporation is a conglomerate based in Konan Minato in Tokyo, Japan. It is one of the leading electronic companies in the globe and specializes in the production of electronics both for consumer and professional business. The business has diversified its scope of operations over the years and currently also deals in financial services sector, entertainment and gaming. It was founded by co-founders namely Akio Morita and Masaru Ibuka in 1930s. Since its inception, the business has grown ...

Lesson 7: The Budget Process

Lesson 8: Who Pays for Resident Care? Lesson 9: Inventories and Purchasing Lesson 7: The Budget Process - Describe the budget development process for an actual nursing facility - Nature of budget process Modern approaches require that small hospitals’ budgets reflect statistical; operating; capital and cash financial statements. Hospitals prepare their budgets based on anticipated income from patients through private insurance; Medicare/Medicaid. The process involves a top down’ ‘bottom up’ approach. The top down is the first step whereby team leaders/ supervisors set their profitability margin for the coming year. Once this aspect of the ...

All questions relate to Galaxy Interiors unless indicated otherwise. Please show all work. - What is the current ratio for 2008 and 2009? Current Ratio is a liquidity ratio that measures company's ability to finance/cover its debt over the next 12 months or its business cycle. Current Ratio formula is given as

So the current assets was 1.46 times the current liabilities in year 2008 whereas in 2009 the current assets was 3.11 times the current liabilities suggesting an improvement in current ratio. - What is OCF for 2009? In finance, operating cash flow means the ...

assignment

Answer 1)

i)Basis of Presentation and Principles of Consolidation: The financial statements of the company are consolidated and are prepared in accordance to US GAAP and as per rules of Security Exchange Commission. The consolidated Statements consists of the accounts of Panera Bread Company and its wholly owned subsidiaries both direct and indirect. ii)Fiscal Year:

The fiscal year of the company is reported to be last tuesday of every december.

iii)Use of Estimates: The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the ...

- The interest rate required by investors on a debt security can be expressed by the following equation: Interest rate = RRF + IP + DRP + LP + PRP + CRP. Define each term of the equation, and explain how it affects the interest rate. RPF stands for real risk-free rate. Real risk-free rate is the minimum percentage of return required by investors identified for the moment of calculating the interest rate. RPF identifies maximum value of the risk that could be accepted. In practice, risk-free rate is bound to a three-month US Treasury bills. There is directly proportional to the interest rate and the ...

Introduction Accounts receivable comprise of the debts which are owed to the firm by those customers who purchase goods on credit. As assets, accounts receivable comprise substantial fraction of a firm’s total assets owing to the fact that a lot of sales are done on a credit basis. From the point of view of a creditor, accounts receivable have different characteristics from those of other assets of the firm. The performance of other assets such as machinery depends on how the firm is efficient, and such information is held by the managers of the firm. However, with accounts receivable, the performance depends ...