C彼得罗斯的公司理财hap002.pptx

Key Concepts and Skills
Understand the information provided by financial statements
Differentiate between book and market values
Know the difference between average and marginal tax rates
Know the difference between accounting e and cash flow
Calculate a firm’s cash flow
Chapter Outline
The Balance Sheet
The e Statement
Taxes
2. Working Capital
Financial Cash Flow
The Accounting Statement of Cash Flows
Cash Flow Management
Sources of Information
Annual reports
Wall Street Journal
NYSE ()
NASDAQ ()
Textbook ()
SEC
EDGAR
10K & 10Q reports
The Balance Sheet
An accountant’s snapshot of the firm’s accounting value at a specific point in time
The Balance Sheet Identity is:
Assets ≡ Liabilities + Stockholder’s Equity
. Composite Corporation Balance Sheet
2010
2009
2010
2009
Current assets:
Current Liabilities:
Cash and equivalents
$140
$107
Accounts payable
$213
$197
Accounts receivable
294
270
Notes payable
50
53
Inventories
269
280
Accrued expenses
223
205
Other
58
50
Total current liabilities
$486
$455
Total current assets
$761
$707
Long-term liabilities:
Fixed assets:
Deferred taxes
$117
$104
Property, plant, and equipment
$1,423
$1,274
Long-term debt
471
458
Less accumulated depreciation
(550)
(460)
Total long-term liabilities
$588
$562
Net property, plant, and equipment
873
814
Intangible assets and other
245
221
Stockholder's equity:
Total fixed assets
$1,118
$1,035
Preferred stock
$39
$39
Common stock ($1 par value)
55
32
Capital surplus
347
327
Accumulated retained earnings
390
347
Less treasury stock
(26)
(20)
Total equity
$805
$725
Total assets
$1,879
$1,742
Total liabilities and stockholder's equity
$1,879
$1,742
The assets are listed in order by the length of time it would normally take a firm with ongoing operations to convert them into cash.
Clearly, cash is much more liquid than property, plant, and equipment.
Balance Sheet Analysis