Financial Management

Advantages- Less liability for stakeholders. Ability to raise funds/capital in the form of stocks as needed.

Most everyone wanted to jump on the investment train this month with the release of Facebook’s Initial Public Offering (IPO). As a matter of fact, many people did buy stock in Facebook, trouble is, most of them will never be able to understand the paperwork they will receive while holding their shares. Every year publicly traded companies distribute what is known as their Annual Report, which is the yearly record of a publicly held company’s financial condition (Harvey). Throughout this paper we will go through Caterpillar’s annual report in an effort to better understand what we are reading. We

| The "apparent," but not the "true," financial position of a company whose sales are seasonal can differ dramatically, depending on the time of year when the financial statements are constructed.

First is the advertising. According to the case, we know that the major revenue of Facebook is advertising, which took up 98 percent in 2009, 95 percent in 2010 and 85 percent in 2011. Facebook uses all information uploaded by users to become the property of the firm. By analyzing database, Facebook provides advertisers target customized services and products based on users’ preferences and connections. In its view, the advertising which based on social

Facebook is estimated to have over 845 million users, mostly college-aged young adults. Its explosive growth and reputation in social networking have made it not only a market leader, but also a household brand name. The audience is global (excluding China) and the site has now been translated into 70 different languages.

Facebook has a specific page of helping the customer to refine your advertising to reach the people who matter most to your business. This indicates that most of advertisement appears on Facebook are well refined based on user’s trait.

Facebook is an excellent technological marketing platform with optimal cost effectiveness and efficient process to monitor the marketing content for the business. This platform is designed to collaborate through group sharing on a intergraded network that will allow users to view current genres of music selections, upcoming events and allow customers to post reviews directly to an individual Facebook webpage designed exclusively for the

JPMorgan Chase & Co. (NYSE: JPM), one of the largest banking institutions in the United States, reported third-quarter 2015 net income of $6.8 billion, or $1.68 per share, on revenue of $23.5 billion. However, the exclusion of unusual items such as tax benefits, legal expenses, and net reserve releases depressed net income to $5.4 billion, or $1.32 per share. These results surprised analysts as the financial services company failed to thrash the consensus estimate from 29 analysts of $1.38; which led to an immediate plunge of 1.56% in the stock price.

The main purpose of this report is to focus the positive accounting theory “Towards a Positive Theory of the Determination of Accounting Standards” and written by (Watts & Zimmerman, 1978) Ross L. Watts and Jerold L. Zimmerman, who indicated with a number of significant research in order to describe and contribute positive accounting theory

The classical tax system is arguably the easiest type of taxation to an extent that it's internationally neutral (Terra & Wattel, 2008, p.105). In this tax system, foreign profits, dividends and shareholders are treated in the same way as domestic profits, shareholders, and dividends. The classical tax system is where a company pays taxes on its taxable income since it's considered separate taxpayer legal entity ("Advantages and Disadvantages", n.d.). The dividends paid by a firm to shareholders are taxable to the shareholders as property income. Some of the countries within the OECD region that use the classical tax system include the United States and the Netherlands.

In the past five the company’s retail gearing levels were high (over 50%) with exception of 2003 when it was 44.7%. (See appendix 1)

* A stakeholder is interested in the equity of the firm. The ultimate objective of a firm used to be maximizing profits. But now a days, goals have widened because of the changing environment in which the firm operates and includes earnings per share, employment numbers, management satisfaction, environmental protection and many other factors that have an effect on the equity of the business. For this reason, the stakeholders are interested in the financial information of the organization.

The primary objective of one’s role as financial manager is “stockholder wealth maximization (Brigham & Ehrhardt, 2014).” In today’s economy being an effective financial manager is no easy task. Therefore, possession of strong analytical skills, continued education, and a thorough understanding of the stock market and strategies used are essential in making informed investment decisions. This paper will provide a brief overview on stocks, publicly traded companies, and demonstrate the skills and techniques used by financial managers to select, analyze, and make recommendations for investment in a U.S. publicly-traded company.

Introduction to Financial Management Learning objectives: The purpose of this lecture is to provide you with an overview of financial management. After finishing this lecture, you would be able to have a better understanding of the following. Definition of financial management Significance of financial management for non-finance students and professionals Important concepts and areas in financial management The position of financial managers in organizational hierarchy and their respective work domains. Different business legal entities, their advantages and limitations. The external and internal business environments and their relevance to financial management. Different types of

As the financial manager, my main concern is to align an investment strategy with my client’s goals. Knowing and understanding my client allows me to choose investments that will be beneficial to my client. My latest client is in his early thirties, has a small retirement fund already, but wants to build a larger investment portfolio as he begins to plan ahead for the future. My client’s goal is to begin building his future retirement account so he will be in a stable financial situation when he reaches retirement age. Being in his early thirties, this was something he only passively though about previously and therefore only currently has a modest retirement account. However, my client recently took some accounting and finance