Accounting and Finance: Discussion Questions

Objectives
Explain why corporations invest in stocks and debt securities.
Describe how debt and stock investments are reported in financial statements.
Analyze consolidated financial statements to make business decisions in a global business environment.
Analyze the corporation’s most recent financial statements and answer the following:

| |How are the corporation’s debt securities reported on the financial statements?
| |How are the corporation’s stock investments reported on the financial statements?
| |Why would the corporation invest in stocks and debt securities?
| |What are the corporation’s relative risks and rewards of equity versus debt securities?
| |What is the difference between equity and debt securities?
| |
| |Use the organization’s financial statements to determine its financial health.
| |Identify examples from the organization’s financial statements to justify the team’s
| |responses.
| |Format your paper consistent with APA guidelines.
| |Complete the following problem sets in Ch. 7 and Appendix E of Financial Accounting:

Week Five Discussion Questions

• What must financial managers consider when operating in the global environment? What types of regulatory compliance might they face? What might they do to mitigate financial risk? Should there be global accounting standards? Why or why not? International Note
As more countries adopt international accounting standards, the ability of analysts to compare companies from different countries should improve. However, international