1. Introduction In this report, it will refer to the business structure, balance sheet, income statement and accounting information and those is surround the case study to clarify every point. The case is a couple who is come from Malaysia and they want to open a restaurant in New Zealand. The report purpose is to delicate the comprehend about the four aspects.The report will be divided four aspects to help them solve the problem and analyse every aspect the influence and effect in an accounting. The reason for the report is classify the four aspects and get relationship between them. Those are the basic information for an accounting. 2. Business structure In this case, the couple who is Adrian Choo and his wife open a restaurant operate Malaysia food in the New Zealand. The most suitable business structure is sole proprietorship which is an individual in business. They possess capacity to run a business and three aspects can explain the reason. Firstly, they come from Malaysia and they will operate a restaurant to do the local food. They might cook the food more specially. They proses the basic condition to run a business. Secondly, the population of Asian occupy a large part of New Zealand. According to the research, the Asian population is about the one million in the New Zealand. (List,n.d.) Sometimes, the Malaysian wants to try the hometown food and they will attract the customers to taste the food in their restaurant. At last, people cannot leave food. “Food can be
In accrual basis accounting, transactions are recorded in the period in which they happen. As such, revenues are acknowledged when they are earned rather than when cash is received. This is also known as the revenue recognition principle. Expenses are acknowledged when they are incurred (also known as the matching principle) instead of when paid (Kimmel, Weygandt, &
As noted in Wikipedia Oracle is headquartered in Redwood, California. It was founded in 1977 and is the world's third largest soft wear developer in sales. According to Yahoo Finance Oracle is a multi-faceted operation. Oracle provides a vast amount of services for the internet and computer. It provides cloud applications, IT consulting services, licenses middleware software which includes database and database management. It has 115,000 full time employees and is run by co-founder, CEO Larry Ellison who has been the only CEO of the company since it's inception. Also noted in Wikipedia he is the top paid CEO in the world. In 2013 Oracle
3. What are each of the financial statements commonly called in for-profit health care organizations and in not for-profit care organizations?
On JB Hunt’s balance sheet for 2011 lists current assets of $513,542,000 and current liabilities of $438,515,000, yielding a current ratio of 1.17, which indicates the company, has $1.17 of current assets for every $1 of current liabilities. The previous year 2010, the current ratio was 0.91. This shows a 29% increase in the current ratio over the previous year. An organization with a current ratio of 2 or higher is usually viewed by lenders to be a safe risk for short-term credit. Based on the 29% increase in current ratio, JB Hunt is in a better position to obtain
Two additional areas that concern management are accounting policies and FASB standards changing. Accounting policies dictate that “properties to be disposed of are reported at the lower of their carrying amount or fair value, reduced for estimated disposal costs, and are included in other current assets” (F. Phillips, 2006). The Landry’s acquisitions increased the properties to approximately 300, but as the disposal of the properties occurs the loss will be significant.
Total assets at the end of its most recent annual reporting period? Why is this important?
After reading the entire annual report on form 10K, define your company and its business. Clearly define the background of the company, its lines of business or segments, locations of operations, number of employees and any other information a potential investor may be interested in. Approach this as if you were writing a book report. You want your reader to have a good understanding of the background of your company, how they are organized, how they “make money” and you want your reader to WANT to know more. Although the 10-K will describe this information for you, do not “cut and paste” straight from the 10-K into your report. Use your own words to summarize their operations.
This report will analyse Greggs’ 2010 annual report on the purpose of evaluating the company’s current operating condition and providing suggestions of improvement to the company’s management team. According to ASB'S Statement of Principles for Financial Reporting, the selected information will be provided to the following users: shareholders, loan creditor group, analyst-adviser group, employees, customers, suppliers, government and the public. Then, based on the key ratio calculations, the company’s financial performance is to be evaluated from two parts: profitability analysis and liquidity analysis. For the profitability analysis, the profitability ratios go up. It is mainly because the sale increases through adding the
The Open-Road Motorcycle Company is the largest online retailer of salvage title motorcycles. We are focused on bringing the customer the best value on entry level motorcycles by providing lower prices than our competitors. Our motorcycles are sold all over the United States, and we currently have 30 stores all across the country.
For authoritative guidance on accounting rules, one must turn to the Financial Accounting Standard Board’s Codification. Since 2009, FASB has arranged the generally accepted accounting principles (GAAP) into an easier to access format, known as the Codification. One of these pronouncements is FASB 235- Notes to Financial Statements (FASB, ASC 235-10, 2009). In this pronouncement, the overall required structure of disclosure notes is discussed.
Landry’s Debt to Asset ratio also increased from year 2002 to 2003. In 2002 Landry had a debt to asset ratio of 0.39. In 2003 Landry’s debt to asset ratio increased to 0.45. While both numbers are acceptable and considerably low, the increase from 2002 to 2003 could influence potential investors to not invest in Landry’s stock. This increase also suggests that Landry’s debt also increased from 2002 to 2003. Overall, while there was a slight increase from 2002 to 2003 Landry’s still had a good debt to asset ratio. We think that a contributing factor to the debt
This paper provides the horizontal and vertical analysis of the income statement and the balance sheet. Equally, financial ratios have been computed to show the leverage, liquidity, efficiency, profitability and the equity of the Hewlett Packard enterprises. Recommendations and conclusion have been made on the results depicted by the analysis. Lastly, an evaluation was made on the different ways that stakeholders utilize the financial statements.
Balance sheets and income statements are a snapshot of a company’s stability and financial situation. Combined the statements show the income, expenses, and stockholder’s equity in the company. These statements are often analyzed by financial institutions when a company comes to them needing a loan. Stockholders and other investors also look at these statements to make sure their investment will return a profit for them. This paper will look at four different companies and their balance sheets and income statements. The companies are Eastman Chemical Company, Covenant Transportation
The balance sheet and Income statement are the most important financial statements of the company that help conduct current analysis of company and evaluate its trends overtime. The balance sheet represents the company snapshots of its financial position on the last days of accounting period. Apple balance sheets, which represent a snapshot of its ending balances in asset, liability and equity account as of the date stated on the report, are changes each year from 2003 to 2014. On the other hand, the income statement shows its financial performance over 2003 to 2014. Apple basically ends its accounting period in September. Most of the long-term debts are in the form of the bonds. According to appleinsider.com, Apple recently issues a new euro bond worth about $2.26 billion with a maturity date on January 17, 2024 and coupon rate of 1.375% payable annually. The first payment will occur on January 17, 2016. Moody’s recently assigned a rating of Aa to Apple Inc. 's senior unsecured note issuance. Thus, Apple recent capital expenditure amount to 11,488 million according to morningstar.com. The analysis of financial statements is conduct to compare Apple with one of its closest rival Hewlett-Packard and twelve ratio were calculated. From table1 and chart1, the current ratio that determine the company ability to meet its short term obligation shows Apple’s current ratio is higher than that of Hewlett-Package from 2003 to 2014. That is, Apple is solvent than Hewlett Packard. Table
Financial Statements basically show the historical performance or record of the company at some previous point of time. By the time when financial statements are made public, changes are many economical areas such as market conditions, currency exchange rate and inflations can change the values of assets and liabilities. In this case there often exist discrepancies between book value of assets and their market values.