For the final week’s Apply assignment, we are given the scenario of Dell Computer Corporation and the figures from their 2010 financial statements. In particular, we are given the information on their investments. We have been assigned the tasks of determining where the various line items would appear on Dell’s financial statements, finding the value of the first two items on Dell’s balance sheet, and finally exploring impairments and how they differ from unrealized losses on long-term investments. This assignment is intended to determine our grasp of the principles taught and included in the Financial Accounting course over the last 6 weeks, including our knowledge of the text.
Where would you find each of the above items in Dell 's financial statements?
Short-term investments, also called marketable securities, have a “maturity of more than 90 days but are intended to be held only until cash is needed for current operations” (Needles, Powers 2012). This can be a bit confusing because investments that are less than 90 days are just considered as cash equivalents. Short-term investments can be found on the balance sheet. The accounting balance sheet is “one of the major financial statements used by accountants and business owners [and it] is also referred to as the statement of financial position” (AccountingCoach.com). In other words, it’s a snapshot of the companies finances for a specific period of time.
Long-term investments, like short-term investments, appear on the
In accounting there is much to be learned, about the financial aspects of a business. In the past five weeks I have learned the importance of financial reports and how they relate to the success of an establishment. These reports may include balance sheets and income statements, which help accountants and the public grasp the overall financial condition of a company. The information in these reports is really significant to, managers, owners, employees, and investors. Managers of a business can take and deduce financial
SUMMARY OF STUDY OBJECTIVES 1Identify the sections of a classified balance sheet. In a classified balance sheet, companies classify assets as current assets; long-term investments; property, plant, and equipment; and intangibles. They classify liabilities as either current or long-term. A stockholders' equity section shows common stock and retained earnings. 2Identify and compute ratios for analyzing a company's profitability. Profitability ratios, such as earnings per share (EPS), measure aspects of the operating success of a company for a given period of time. 3Explain the relationship between a retained earnings statement
This course focuses on ways in which financial statements reflect business operations and emphasizes use of financial statements in the decision-making process. The course encompasses all business forms and various sectors such as merchandising, manufacturing and service. Students make extensive use of spreadsheet applications to analyze accounting records and financial statements. Prerequisites: COMP100 and MATH114 / 4-4
6. MB4 Profit and Loss Account 2: A worked example of your solutions to your identified problems in P&L1
ACC 201 (Principles of Financial Accounting) Complete Class All Discussion Questions , Chapters Problems and Assignments
Prepare the appropriate adjusting entries for Brooks as of December 31, 2010, to reflect the application of the “fair value†rule for both classes of securities described above.
During the first two weeks, Learning Team “A” studied several objectives. During Week One, we learned how to prepare journal entries to account for transactions related to accounts receivable and bad debt using both percentage of sales and the percentage of receivables methods, ways to distinguish between tangible and intangible assets, the means to identify the entries associated with acquisition, disposal, and sales of plant assets, and closed out the week by distinguishing between revenue and capital expenditures, and the entries associated with each. As we advanced into Week Two, we studied how to differentiate among accounts payable, notes payable and accrued expenses, methods to properly
Learning Objective: 04-03 Present an income statement with earnings per share, statement of stockholders equity, balance sheet, and statement of cash flows.
17. If common stock is issued for an amount greater than par value, the excess should be credited to
Exhibit 2 and 3 showed the balance sheet and income statement of the Archdiocese of New Orleans. There are error in the balance sheet and income statement. In this balance sheet, shareholder equity was not mentioned, so it is very difficult to calculate the return on equity and debt to equity ratio. This information is very important, the organization need it to pay its debt in future. There are little ambiguities in the current assets and liabilities figure (doubtful receivables).
This report is issued in order to inform the public about Microsoft Corporation. We analyzed the profitability and liquidity of this company. In addition, we were able to provide recommendations for investments or credits in Microsoft for the best interest of the public.
REF OF GROUP MEMBERS’: TABLE 1 : 5 C’s SITUATION ANALYSIS Factors Dell Company: Resources 1.4 Licensing, Distribution channel, Supply • Intellectual property, Human resources, Patent, Competences Brand acuity1 chain management 24 25 Techno structure • Just-in-Time; CRM; Engineer R&D, Acquisition
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 most important questions facing Dell was – how to grow and at what cost. The purpose of this research is to analyze Dell’s core strategy, its working capital management, and come up with a plan to finance its future growth by evaluating its financial statements.
1. From Tab #1, what is the meaning of the Unneeded Investment? Why is having fewer “days” of inventory an advantage over Compaq?