Group Case Study “Microsoft’s Financial Reporting Strategy” Microsoft’s Financial Reporting Strategy ABSTRACT 2 This case study examines the factors explaining the difference between Microsoft’s market value of equity to book value of equity and overall financial reporting strategies employed at the firm. We analyzed financial information dating from 1985 to 1999 and 2011 annual report provided by Microsoft. We found factors explaining market value of equity are perceived risk and future cash
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ACCOUNTING 592 Financial Accounting & Reporting Seminar Spring 2010 Instructor: Office Hours (subject to adjustment): Teresa Gordon Office Hours: W 8:30–11:00 AM Albertsons Bldg. 118 and T‚W‚Th 1:15 - 3:00 PM 885-8960 or by appointment E-mail: tgordon@uidaho.edu Course web page: http://www.cbe.uidaho.edu/Acct592 ------------------------------------------------- MASTER OF ACCOUNTANCY – LEARNING GOALS ------------------------------------------------- -------------------------------------------------
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Microsoft’s Financial Reporting Strategy Q1. What are the factors that likely explain the equity and its reported book value of equity? Question 1 2 3 4 5 6 1999 Market Capitalisation: USD 460 Billion Book Value: USD 28 Billion MVE more than 16 times of BVE! Factor 1 Question 1 2 3 4 5 6 Intangible Assets • BVE does not reflect certain intangible assets’ value such as brand‚ customer loyalty‚ and human capital – Likely to provide tremendous earnings growth
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Financial Reporting Problem Part 1 Mark R. Mitchell XACC/290 August 10‚ 2014 Jeanette Butler Financial Reporting Problem Part 1 In the light of this week’s assignment of analyzing an annual report for a publicly traded company I decided to use the company now work for which is the spinoff company from the merger of international papers Xpedx division and Unisource; the new company name is Veritiv. Veritiv’s total assets for this accounting period are $1‚215 million dollars (Morningstar
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EM6602 Accounting for Decision-Making and Control Microsoft’s Financial Reporting Strategy (HBR 9-100-027) Team Members Toh Wei Hong‚ Prashant Trivedi‚ Preethy Varadarajan Question 1 The difference between Microsoft’s market value and book value is primarily due to unrecorded intangible assets such as brand value‚ customer loyalty‚ human capital‚ and commercial advantages such as long-term contracts and market dominance. These intangible assets confer Microsoft a tremendous edge over its
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Answers Fundamentals Level – Skills Module‚ Paper F7 (INT) Financial Reporting (International) 1 (a) December 2008 Answers Pedantic Consolidated income statement for the year ended 30 September 2008 $’000 98‚000 (72‚000) ––––––– 26‚000 (3‚000) (7‚600) (500) ––––––– 14‚900 (5‚400) ––––––– 9‚500 ––––––– Revenue (85‚000 + (42‚000 x 6/12) – 8‚000 intra-group sales) Cost of sales (w (i)) Gross profit Distribution costs (2‚000 + (2‚000 x 6/12)) Administrative expenses
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era of globalization. IFRS is spreading its wings and India is not the exception. In India IFRS is being implemented in phased manner. Till now it has been made mandatory for some specific group of listed companies. Although many countries of the world have been benefitted after implementing IFRS‚ it is both threat and opportunity for India. Indian companies have various challenges and issues to implement IFRS. The biggest challenge in India is to harmonize IFRS with respect to existing laws and
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There are many benefits to having a growth mindset. They’re getting smarter every moment possible. Having a growth mindset is very good. It affects both your hard work and effort in things. To improve‚ you know that you must work hard for it and you keep practicing even when you don’t like it. You know that if you have to try‚ you will learn it. You take the time and put in effort in all your work. Either slow or fast‚ you solve problems and know that making mistakes is an opportunity to get better
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Which type of power do you find most effective? I would have to say that I find expert power to be most effective to have in ones position. Having someone believe in you that much based on your experience and knowledge puts one in a comfortable position to go off ones word. Which type of power do you think you have? As of right now in the poison I uphold at my current employment‚ I would have to say reward and expert power. The reason for that would be that in my position as the head
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operationally and for financial reporting purposes. It has to be sold in full. Check of impairment of segment if not sold off by the end of the year. Reported net of tax and must restate all previous reports. Asset Impairment: check undiscounted cf and reduce to fair value. Cannot reverse in following years. Usually will be included in operating income and needs to be separate and clear. CF Statement Why is it important? BK‚ manipulation‚ DCF. A lot use FCF (many def‚ a good one is ops minus inv in
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