Financial Reporting Problem, Part I
Financial Reporting Problem, Part I
ACC/290
March 18, 2013
Tony Ames
Financial Reporting Problem, Part I
In today’s markets there are several factors that make up a public company and allow it to be desired by investors.
* Total Current Assets: Previous Annual Reporting Period * * The total current assets at the end of the previous annual reporting period, December 31, 2011, was $22,985,000 in comparison to the most current year of 2012’s results of $22,706,000. Therefore, the total current assets “depleted” $279,000. However, in comparison of the two years in regard to total assets, including property, plant, and equipment, 2012 shows higher possession of $272,315,000 in comparison to 2011’s $270,442,000. Altogether, AT&T is not far off from where they were financially the previous year of 2011. Assets (#’s in millions)
Current Assets 2012 2011
Cash and cash equivalents $ 4,868 $ 3,045
Accounts receivable-–Net 12,657 13,231
Prepaid expenses 1,035 1,102
Deferred income taxes 1,036 1,470
Other current assets 3,110 4,137
Total current assets 22,706 22,985
Property, Plant and Equipment – Net 109,767 107,087
Goodwill 69,773 70,842
Licenses 52,352 51,374
Customer Lists and Relationships –Net 1,391 2,757
Other Intangible Assets – Net 5,032 5,212
Investments/Advances to Equity Affiliates 4,581 3,718
Other Assets 6,713 6,467 * T otal Assets $272,315 $270,442 (AT&T Intellectual Property , 2013) * Importance of Information * * The information of an annual report regarding current assets, liabilities, etc. are important to potential investors and employees because it all identifies the overall worth of the company. The company has to show its proficiency within financial worth in order to obtain serious investors and employees. These investors and employees are looking for a company that will have the most incentives (profitability) to not only invest
ACC/290
March 18, 2013
Tony Ames
Financial Reporting Problem, Part I
In today’s markets there are several factors that make up a public company and allow it to be desired by investors.
* Total Current Assets: Previous Annual Reporting Period * * The total current assets at the end of the previous annual reporting period, December 31, 2011, was $22,985,000 in comparison to the most current year of 2012’s results of $22,706,000. Therefore, the total current assets “depleted” $279,000. However, in comparison of the two years in regard to total assets, including property, plant, and equipment, 2012 shows higher possession of $272,315,000 in comparison to 2011’s $270,442,000. Altogether, AT&T is not far off from where they were financially the previous year of 2011. Assets (#’s in millions)
Current Assets 2012 2011
Cash and cash equivalents $ 4,868 $ 3,045
Accounts receivable-–Net 12,657 13,231
Prepaid expenses 1,035 1,102
Deferred income taxes 1,036 1,470
Other current assets 3,110 4,137
Total current assets 22,706 22,985
Property, Plant and Equipment – Net 109,767 107,087
Goodwill 69,773 70,842
Licenses 52,352 51,374
Customer Lists and Relationships –Net 1,391 2,757
Other Intangible Assets – Net 5,032 5,212
Investments/Advances to Equity Affiliates 4,581 3,718
Other Assets 6,713 6,467 * T otal Assets $272,315 $270,442 (AT&T Intellectual Property , 2013) * Importance of Information * * The information of an annual report regarding current assets, liabilities, etc. are important to potential investors and employees because it all identifies the overall worth of the company. The company has to show its proficiency within financial worth in order to obtain serious investors and employees. These investors and employees are looking for a company that will have the most incentives (profitability) to not only invest