CHAPTER 1: INTRODUCTION TO FINANCIAL ACCOUNTING 1.1 USE‚ PREPARATION AND CONCEPTS * Use: The information derived from financial accounting is used by managers‚ investors‚ bankers‚ financial analysts and accountants‚ helping them to learn how to use information effectively and to do their jobs better. This information is essential to accountants for the services they provide. * Preparation: to be effective users of accounting information‚ people need to know something about how and
Premium Balance sheet Income statement Generally Accepted Accounting Principles
Financial Accounting Course Objectives: This course introduces the fundamentals of financial accounting to graduate students. Throughout the course‚ communication skills will be emphasized. After completing the course‚ a student is expected to understand how accounting information is produced‚ interpret and analyze financial statements‚ communicate firms’ financial health and appreciate ethical issues in accounting. Since the course content will be approached from the perspective of a user‚ rather
Premium Accountancy Final examination Finance
II. Assessment of Starbucks’ Financial Condition We evaluated the financial performance of Starbucks by computing various ratios based on the company’s most current audited financial statements. Specifically‚ we evaluated the firm’s liquidity‚ operating profitability‚ capital structure‚ and market value. Additionally‚ we identified Starbucks’ competitors and benchmarked the company’s performance against the peer group. Finally‚ we defined what we believe the key factors are causing the current
Premium Financial ratios Generally Accepted Accounting Principles Balance sheet
stylised sense‚ there are two fundamentally different perspectives for analysis of financial systems. The institutional perspective takes the institutional structure of the financial system as given‚ and looks to define what can be done to make those institutions perform their particular financial functions more efficiently. In contrast to the institutional perspective‚ a functional approach to designing and managing financial system‚ as proposed by Professor Robert Merton (Harvard Business School) and
Free Economics Investment Financial services
Financial Globalization and Regulation Introduction: In the paper named “Financial globalization and Regulation” Philip Arestis and Santonu Basu defined a process by which financial markets of different countries are integrated as a single market and which will facilitated free movement of finance over the countries without having any restriction. This process requires a single currency and single monetary authority. Literature Review: Different scholars have researched and express their opinions
Free Economics Investment Bank
1.1 What types of questions can be answered by analyzing financial statements? Would an investment generate attractive returns?- what is the degree of risk inherent in the investments-will cash flows be sufficient to service interest and principal payments to support the firm’s barrowing needs-should existing investment holdings be liquidated-does the company provide a good opportunities for employment‚ and employee benefits-how well does this company compete in its op environment. 1.2 What is
Premium Balance sheet Annual report Financial statements
Financial Reporting Financial reports are the documents and records that you put together to track and review how much money your business is making (or not). The purpose of financial reporting is to deliver this information to the lenders and shareowners (the stakeholders) of your business. If someone else is supporting part of your business‚ financial reporting must be part of the essential contract between you and them. Your lenders and investors have the right to know if their money is being
Premium Income statement Financial statements Generally Accepted Accounting Principles
THE FINANCIAL SYSTEM – NATURE‚ EVOLUTION AND STRUCTURE A financial system is an integral part of a modern economy. An effective system of payment for goods and services enables huge production and the specialization of labor in the economy. The word „system‟ means an ordered‚ organized and comprehensive assemblage of facts‚ principles or components relating to a particular field and working for a specified purpose. But the word system in the term „financial system‟ represents a set of closely held
Premium Financial services Investment Bank
Financial Statement Analysis Chandra Sekhar Mishra VGSOM‚ IIT Kharagpur Outline Financial Statements and their Content ●Why Financial Statement Analysis (FSA)? ●Tools for FSA ● Financial Statements ● Balance Sheet ● ● Statement of financial position Statement of Assets and Liabilities ● ● ● ● Income Statement ● Statement of financial performance ● ● Assets: What a business owns Liabilities: What a business owes to non-owners Equities: What a business owes to owners Revenues and Expenses
Premium Generally Accepted Accounting Principles Balance sheet Asset
Managing financial resources Table of Contents 1. Introduction 2. Past Financial Performance of Elim Limited A. Purpose of this Analysis B. The Importance of Standards C. Descriptions of Past Performance 3. Implications of Elim’s Past Performance 4. Information Needs & Its Importance D. List of Decisions E. Information Needs of Different Parties 5. Analysis of Different Strategies F. Cost Control G. New Product Development
Premium Generally Accepted Accounting Principles Financial ratios Financial ratio