scholarly journals The Impact Of The COVID-19 Pandemic On One Of The Biggest Technology Giant Shares: A Financial Analysis On Microsoft Corporation

2021 ◽  
Vol 10 (3) ◽  
Author(s):  
Romina Barrantes ◽  
Thomas Leach
Keyword(s):  
Global Economy ◽  
Swot Analysis ◽  
Financial Analysis ◽  
Balance Sheet ◽  
Financial Statements ◽  
Cash Flows ◽  
Health Crisis ◽  
Balance Sheets ◽  
Statement Of Cash Flows ◽  
The Impact

Big technology stocks have been on a roll since April 2020, escaping the consequences of the coronavirus outbreak. The coronavirus pandemic created a vast tailwind for technology giants, especially Microsoft by inciting shifts in the corporations’ behavior which are currently outliving the health crisis. The financial analysis on this firm aimed to develop a thorough analysis centered on its corporate history, market summary, financial statements (income statements, balance sheets, cash flows statements), normalized financial statements (normalized income statement, normalized balance sheet, and normalized statement of cash flows), stock valuation, SWOT analysis, and major competitors’ performance. The aim of the evaluation is to get enough information to construct a thorough evaluation concerning the company’s performance and analyze the effects of the coronavirus pandemic on the company. The evaluation indicated this giant technology company is booming during the pandemic even when the global economy is in a recessionary gap. The financial analysis may suggest further research into.

scholarly journals Certain aspects of methodology for accounting of intangible assets

2020 ◽  
pp. 219-233
Author(s):  
Valentyna Yasyshena
Keyword(s):  
Intangible Assets ◽  
Balance Sheet ◽  
Cash Flows ◽  
Investment Activity ◽  
Balance Sheets ◽  
Analysis And Synthesis ◽  
Statement Of Cash Flows ◽  
The Stability ◽  
Double Entry ◽  
The Impact

Introduction. In today’s competitive environment; there is an urgent need to find new approaches to managing an enterprise and its intangible assets in order to ensure the stability and development of domestic enterprises. For effective management of the enterprise; there is a need to conduct research aimed at improving the accounting methodology in accordance with the present requirements and to increase the formation of quality information and accounting support of the management system; etc. Objective. The study is aimed at studying such elements of the accounting method as double-entry; the balance sheet; reporting by disclosing their nature; determining the impact on accounting and the formation of reporting indicators in the IAs and goodwill in accordance with the requirements of the applicable law. Methods. Analysis and synthesis are used to identify the current state of the study of the elements of the accounting method. Scientific abstraction and historical methods have been used to outline the problems investigated by scientists arising in the theoretical and practical area of accounting for IAs. Groupings; tables; graphs are used to classify IAs and goodwill and to establish the interconnection of the accounting method elements; etc. Results. The problems of accounting and reporting of intangible assets through the prism of such elements of accounting method as accounts; double-entry; the balance sheet; reporting are revealed. It is emphasized that the balance sheet as an element of the method should be understood not only as a form of reporting but first and foremost as a model for ordering accounting objects and summarizing information on the facts about the economic activity. Not all intangible assets are reflected in the accounts and respectively in the balance sheets of domestic enterprises. This applies both to recognized intangible assets under PAS 8 and internally generated assets that do not meet the recognition criteria but which increase the value of the enterprise. It is stated that the internal goodwill should be reflected in the financial and management accounting of the enterprise because of its existence during all current activities of the company; and not only at the moment of its realization. Keeping current records of goodwill at the enterprise will reduce the gap between its market and book value to a minimum. The impossibility of simultaneous attribution of intangible assets transactions to two types of activities; which is disclosed in the financial statements; is proved. It is noted in the Statement of Cash Flows that the information on the sale of intangible assets should be recorded as an operating activity. The revision of the definition of «investment activity» was emphasized. Prospects. It is necessary to conduct research in the field of improving the methodology of domestic accounting in general; including intangible assets through the study of approaches to the accounting methodology.

Horse Vet, LLC: Transaction Analysis and Statement of Cash Flows Preparation (Option 1)

2017 ◽  
pp. 1-12
Author(s):  
Mark E. Haskins
Keyword(s):  
Financial Reporting ◽  
Balance Sheet ◽  
Financial Statements ◽  
Cash Flows ◽  
Financial Statement ◽  
Balance Sheets ◽  
Income Statement ◽  
Transaction Analysis ◽  
Business Events ◽  
Statement Of Cash Flows

This case pertains to the foundational underpinnings of the accounting process and the statement of cash flows. In Part I, students are presented with 23 business events that they must evaluate for recording in the financial records. Part II requires students to prepare a 2012 statement of cash flows using the information presented in the company's 2011 and 2012 year-end balance sheets along with its 2012 income statement. In Part III, students must rely on a 2011 balance sheet and a 2011 statement of cash flows to work backward to derive the 2010 year-end balance sheet. There are two versions of this case: Option 1 and Option 2. The Option 2 case is a bit more challenging than the Option 1 case. Instructors should use Option 2 if they feel students are well grounded in their understanding of financial statement relationships and the customary financial reporting of a typical set of business events. Both cases reinforce students' learning related to the accounting process and the connectivity between the financial statements. Please note that only one version of the case should be used due to the existence of some overlap between the two.

Dog Concierges, LLC: Transaction Analysis and Statement of Cash Flows Preparation

2017 ◽  
pp. 1-9
Author(s):  
Mark E. Haskins
Keyword(s):  
Balance Sheet ◽  
Financial Statements ◽  
Cash Flows ◽  
Balance Sheets ◽  
Income Statement ◽  
Transaction Analysis ◽  
Business Events ◽  
Statement Of Cash Flows

This case is appropriate in a MBA module for the accounting process and is also an excellent exam case. It provides a diagram of the three basic financial statements (balance sheet, income statement, and statement of cash flows) used to capture, codify, and communicate the effects of a series of typical business events. The case also gives students the opportunity to prepare a simple statement of cash flows using two sequential balance sheets and to work backward from a balance sheet and statement of cash flows to craft the beginning of the year's balance sheet.

Instructional Case: Worldwide Shipping Corporation Ltd: Early or Late Adoption of a New International Accounting Standard?

1999 ◽  
Vol 14 (2) ◽  
pp. 211-231
Author(s):  
Peter Lee ◽  
Pearl Tan
Keyword(s):  
Financial Reporting ◽  
Financial Analysis ◽  
Balance Sheet ◽  
Financial Statements ◽  
Economic Consequences ◽  
International Accounting ◽  
Accounting Choice ◽  
Accounting Standard ◽  
The Impact ◽  
International Accounting Standard

The management of Worldwide Shipping Corporation Ltd (hereafter “Worldwide Shipping”) is confronted with a dilemma when a new international accounting standard on leases is introduced which contains a transitional provision allowing firms to defer implementation for a period of four years. Students are required to put themselves in the position of managers who have to weigh the adverse impact of early adoption of the new accounting standard against a responsibility for fair financial reporting. Worldwide Shipping is a multifaceted case that can be used as an accounting case study or a financial analysis study. The objectives of the case are threefold. First, it aims to provide students with a better understanding of the impact of off-balance sheet transactions (in this case, sale-leaseback contracts) on a firm's financial statements. Second, it requires students to examine implications of accounting choice on management compensation and debt-contracting costs, as well as the perplexing problem of recognition in financial statements vs. footnote disclosures. By putting students in the position of managers, the case increases students' awareness of the possible economic consequences arising from accounting choice. Third, it provides students with a useful exercise in the mechanics of effecting a change in accounting method using the retroactive method.

scholarly journals IPTEKS NILAI WAKTU UANG DAN IMPLIKASI PENCATATAN AKUNTANSI

2019 ◽  
Vol 3 (2) ◽  
Author(s):  
Novi Swandari Budiarso
Keyword(s):  
Interest Rate ◽  
Balance Sheet ◽  
Financial Statements ◽  
Cash Flows ◽  
Time Value Of Money ◽  
Time Value ◽  
Financial Position ◽  
Income Statement ◽  
Statement Of Cash Flows ◽  
Value Of Money

Most of general public and firms know about money and its value but do not have better understanding how the money creates its own value relates to interest rate. Another side, most of firms still not realize that the time value of money has an impact on accounting recording and its reporting in financial statements, such as statement of financial position (balance sheet), income statement, and statement of cash flows.

scholarly journals Comparability of financial statements prepared according to IFRS and IFRS for SMEs in the field of intangible assets

2010 ◽  
Vol 58 (6) ◽  
pp. 67-78 ◽  
Author(s):  
Hana Bohušová ◽  
Patrik Svoboda
Keyword(s):  
Financial Reporting ◽  
Intangible Assets ◽  
Financial Analysis ◽  
Balance Sheet ◽  
Financial Statements ◽  
Important Field ◽  
Definition Of ◽  
The Impact

IFRS for SMEs were adopted in July 2009 as a result of efforts to harmonize financial reporting for SMEs. These standards are based on the same principles as full standards. The aim is, compared to full IFRS reporting of these businesses, to significantly simplify, mainly from the reason that the strict application of the principles of the full standards does not excessively financially and administratively burden smaller accounting entity. Field of identifying, recording and reporting of intangible assets except goodwill is an important field in which the methodology is substantially different. In the pre­sent paper there is documented on the example the impact of different methods for recording of internally generated intangible assets in the both systems into balance sheet and profit or loss and into the selected indicators of financial analysis. Definition of issues that may arise during the transition from the IFRS for SMEs to full IFRS and vice versa, in the context of drafting the opening balance sheet is another field to which the paper is dedicated.

scholarly journals Correction of Accounting Errors through Post Balance Sheet Event Analysis for Romanian Companies

Economies ◽  
2019 ◽  
Vol 7 (2) ◽  
pp. 29 ◽  
Author(s):  
Monica Laura Zlati ◽  
Valentin Marian Antohi ◽  
Petronela Cardon
Keyword(s):  
Risk Model ◽  
Financial Analysis ◽  
Balance Sheet ◽  
Financial Statements ◽  
Risk Profile ◽  
Event Analysis ◽  
Area Of Interest ◽  
The Impact ◽  
Accounting Errors

The study scope is to present the typology of the events analyzed through our research and their impact on the quality of reported financial data. The objectives of the study are to analyze the vulnerability of enterprises according to methodological criteria such as risks and calculations of the risk profile, as well as to establish the necessary measures for correcting the accounting errors based on the conclusions drawn from the analysis. The method used is prospective, financial analysis of the data taken from the financial statements of the companies included in the sample, dynamic for a period of 6 years (2011–2016). Based on the method used, a risk model has been conceptualized to identify the vulnerabilities and risks reported in the financial statements and to define a company risk profile based on which error correction measures can be adopted. Considering the amplitude of the necessary check-ups and the methodology of the imposed accounting treatments, we believe that the topic addressed is a real area of interest for the professional accountants because it organizes the application procedures and limits the impact of errors on the quality of financial reporting in Romania.

scholarly journals THE INFLUENCE OF A DIFFERENT ACCOUNTING SYSTEM ON INFORMATIVE VALUE OF SELECTED FINANCIAL RATIOS

2012 ◽  
Vol 18 (1) ◽  
pp. 149-163 ◽  
Author(s):  
Olga Malíková ◽  
Zdeněk Brabec
Keyword(s):  
Financial Markets ◽  
Financial Analysis ◽  
Financial Statements ◽  
Financial Ratios ◽  
Accounting System ◽  
Balance Sheets ◽  
Investment Opportunities ◽  
Optimal Efficiency ◽  
Global World ◽  
The Impact

In recent global world the importance of financial markets is growing as well as the amount of capital distributed through these markets. To enable optimal efficiency of these markets the best investment opportunities has to be chosen. An alternative how to compare and select suitable companies to invest in is represented by a financial analysis of financial statements. The results of financial ratios are mainly influenced by the presumptions according to those the financial statements have been prepared. Therefore, in this article there is analysed if and eventually how significant the input data, influence the results of financial ratios. Firstly, the description of financial ratios that are used in following analysis is made. After that, there are analysed the requirements of Czech legislation and IAS/IFRS and their influence on financial statements. Then, the influence of five selected accounting transaction on balance sheets and income statements that are prepared once according to the Czech legislation and for the second time according to the IAS/IFRS is analysed. The final part tries to examine if and how strong the impact of different accounting system on the results of the selected financial ratios is.

scholarly journals Evaluation of financial statements of sports clubs for 2019 and 2020 operational periods in terms of the covid-19 pandemic and research in terms of financial risk

2021 ◽  
Vol 8 (1) ◽  
pp. 118-136
Author(s):  
Adnan Sevim
Keyword(s):  
Financial Reporting ◽  
Financial Risk ◽  
Management Practices ◽  
Financial Analysis ◽  
Financial Statements ◽  
Cash Flows ◽  
Leverage Ratio ◽  
Sports Clubs ◽  
Operational Activities ◽  
The Impact

The Covid-19 pandemic and the accompanying uncertainties deeply affected the activities and financial structures of businesses and caused negative effects on their financial statements in many respects. Sports clubs are at the top of the list of businesses that suffer the most from the negativities of the pandemic process and experience a lot of loss in their financial and operational activities. Considering the developments both in Europe and in the World, the temporary postponement of sports matches, the start of competitions without spectators, the restructuring of club debts have seriously affected sports clubs, which are currently experiencing economic difficulties, deteriorate their liquidity, cash flows and increase uncertainty by making debt payments difficult. In addition, as the impact of risks on future performance increases, risk management practices have gained importance. In this context, information on the current ratio, cash ratio, financial leverage ratio, financing ratio, debt/equity ratio, and financial risk ratio obtained from the financial statement data for the period of 2019 and 2020 were used to evaluate the financial risk levels of 12 sports clubs. The deterioration in the financial structures of the sports clubs most affected by the pandemic process was examined and the risks encountered were discussed. In addition, the comparative financial analysis results were evaluated by analysing the effect of the financial structure and financial reporting of the clubs.

Statement of Cash Flows and financial analysis: The case of a multinational company in Mexico

2019 ◽  
pp. 10-19
Author(s):  
María Trinidad Alvarez-Medina
Keyword(s):  
Financial Analysis ◽  
Financial Statements ◽  
Relevant Information ◽  
Cash Flows ◽  
Position Statement ◽  
Financial Information ◽  
Multinational Company ◽  
Economic Entity ◽  
Investment And Financing ◽  
Statement Of Cash Flows

The statement of cash flows, based on the financial information standard (NIF) B-2, issued by the Mexican Council of Financial Information Standards (CINIF, whose objective is to present to users, the generation and application of cash for activities of operation, investment and financing The analysis of cash flows, the application of methods and techniques of analysis to the basic financial statements as a whole, provide relevant information about operational and financial strengths and weaknesses of an economic entity. In the case presented by a Mexican multinational company, the financial statements as of December 31, 2018, 2017 and 2016 are analyzed, using vertical and horizontal techniques, determining the generation and use of cash flows, financial ratios, percentages and trends. the statement of cash flows in conjunction with the statement of financial position, statement of comprehensive income and the statement of variations in stockholders' equity, they provide relevant information about the financial situation of an economic entity; and thus identify the reasons that explain the aspects of liquidity, leverage, profitability, activity and coverage, having more elements of judgment that allow it to support decision making.

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