Adventis fmc stuvia - Study guides, Class notes & Summaries

financial statement communicates what? - Answer - financial condition - results of operations - various other activities of an organization how board of directors use financial data... - Answer - hold management accountable - make board-level decisions about corporate strategy how company management uses financial data... - Answer - measure performance - make strategic, operating and financial decisions how creditors use financial data... - Answer - measure creditworthiness - liqu...

What do Financial Statements Communicate? - Answer 1. Financial condition of an organization 2. Results of operations of an organization 3. Various other activities of an organization 3 Financial State Reports - Answer 1. Income Statement 2. Balance Sheet 3. Cash Flow Statement Why do Board of Directors Use Financial Statements? - Answer To hold management accountable and make board-level decisions about corporate strategy. Why does Company Management Use Financial Statements? - Ans...

financial statement communicates what? - Answer - financial condition - results of operations - various other activities of an organization how board of directors use financial data... - Answer - hold management accountable - make board-level decisions about corporate strategy how company management uses financial data... - Answer - measure performance - make strategic, operating and financial decisions how creditors use financial data... - Answer - measure creditworthiness - liqu...

what is value - Answer what people are willing to pay for (what the buyer pays) who said, "Value is what people are willing to pay for" - Answer John Naisbitt 2 primary types of valuation - Answer 1. relative valuation 2. intrinsic valuation relative valuation refers to what - Answer methods that compare the price of a company to the market value of similar assets intrinsic value refers to what - Answer the value of a company through fundamental analysis without reference to its m...

Financial Statements - Answer income statement + balance sheet + cash flow statement. communicate the financial condition. Income Statement - Answer presents the results of operations over a period of time. shows stakeholders whether the compay made or lost money. Revenue/Sales - Answer in income statement. number charged for the delivery of goods or services. Cost of Sales/Cost of Goods Sold - Answer in income statement. direct cost of producing revenue. Gross Profit - Answer in...

The Income Statement A) Presents the results of operations over a period of time B) Discloses the resources an organization controls and the claims against those resources C) Shows an organization's financial position at a point in time D) Shows the inflows and outflows over a period of time - Answer A Which of the following is not accurate in regards to the balance sheet A) Shows an organization's financial position at a point in time B) Discloses the resources an organization contro...

what is the purpose of the income statement? What does it indicate? - Answer to show stakeholders if the firm made or lost money during the period being reported it indicates how revenues are transformed into net income define: Revenue - Answer the amount charged for the delivery of goods and services define: COGS - Answer direct costs of producing revenue define: Operating Expense - Answer all other expenses required to run the business what does Operating Income indic...

Two main types of valuation methods? - Answer Relative and intrinsic refers to methods that compare the price of a company to the market value of similar asset - Answer Relative Valuation refers to the value of a company through fundamental analysis around its ability to generate cash flow - Answer Intrinsic Valuation In an M&A context, Enterprise Value is analogous to? - Answer Transaction Value In an M&A context, Equity Value is analogous to? - Answer Purchase Price Two primary ...

what do financial statements communicate? - Answer fin condition, results of operation, and other activities of an organization how does the board of directors use financial statments? - Answer hold management accountable and make board level decisions about corporte strategy how does company management use financial statments? - Answer measures performance and makes strategic, operational and financial decisions how do creditors use fin statements? - Answer measure creditworthiness, li...

Two types of valuation - Answer Relative and Intrinsic Relative Valuation - Answer Refers to methods that compare the price of a company to the market value of similar assets Two Types of Relative Valuation - Answer Comparable company analysis and Acquisition comparable analysis Comparable Company Analysis - Answer Used to determine the value of a company by applying relevant multiples of peers to company's metrics. -Enterprise Value/EBITDA -Enterprise Value/Revenue -Equity Value/Ea...