financial management Essay example
Undergraduate
Essay
Finance & Accounting
Pages 5 (1255 words)
Download 0
Does the corporate governance maximize shareholder’s wealth? Name Professor Class University Date Does the corporate governance maximize shareholder’s wealth? I. Introduction and objective of the report  The annual report is a report the company’s performance in the preceding year…

Introduction

Shareholders are interested to know if the risk they took in investing in the company provided returns that increase the wealth not only of the company but also of the shareholders as well. II. Critical evaluation of corporate governance of a selected company  The company that is the subject for evaluation of governance in this paper is Leeds PLC. Leeds PLC is the Group has been mainly engaged in textile processing, specialising in fabric printing and yarn dyeing, and by 1996 had manufacturing operations in UK, Holland and Italy. Leeds Group’s trading operations are conducted by Hemmers-Itex Textil Import Export GmbH. Hemmers is based in Nordhorn, Germany and has a Chinese subsidiary based in Shanghai. Together these companies employ some 120 people and achieved fabric sales of 13.1 million linear metres in the year ended 30 September 2009 (Leeds Group 2012). Inferring from the annual report of Leeds PLC, it can be said that the company is conservative in applying its cost. Conservative in applying cost meant providing generous allowance for expense to have a more accurate and realistic cost of the company. In fact, Leeds PLC may be one of few companies who are “honest enough” to reflect a s of ?454,000 in the fiscal year 2012 (Leeds Group PLC 2012) that would be seen by its shareholders. ...
Download paper
Not exactly what you need?

Related papers

Financial Management
Various ratios have been calculated to analyze the financial strength of the company. The overall performance of the companies during the year 2009 has also been analyzed. The nonfinancial parameters which are important to judge the company from the point of view of an investor has also been discussed in this project. Current liabilities Current liabilities can be defined as the liabilities which…
Financial management
This is different from For-Profit organizations that source their funds from shareholders who are the real owners of these organizations. Organizational structure of NGO’s and For-Profit are a bit similar in the sense that both set of organizations are managed by boards of directors. Financial management entails the processes of budgeting, Taxation and corporate governance. NGO’s typically…
Financial Management
Financial management is a division of the finance and accounting purpose i.e. concerned with the financing of an industry’s activities. Finance is usually raised through loan capital, share capital and state finance or through inside generated funds. This report is prepared for Roberta Kelly and providing good budgeting plan to her business. It is designed to give the learners a chance to…
financial management
Normally two ratios are being used to evaluate the liquidity of a company, they are the current ratio and quick ratio respectively. These ratios describe that how many current assets are required to fulfill the current liabilities. By using the data from each company’s financial statement we find out the current ratio of both companies. As in company A there is a large amount of assets to…
Financial Management
It is considered as the largest and leading company that brews perfected beer with a volume of 49.2% share of beer sales (Anheuser-Busch InBev, 2008). In terms of volume of brewing it was considered as third in the world’s leading distributors of beer before it was acquired by In Bev in 2008 July and the merger was completed in November 2008. Based on revenue it was considered as the top notch…
financial management
That one for FedEx is $ 2.17 billion. Market capitalization is the total average value of a public company. Its calculation is the figure representing outstanding shares multiplied by the share price. That one for FedEx is $30.71 billion (Kansas 36). Question # 2 A standard & poor’s 500 Index is an index of 500 stocks as chosen for liquidity and industry grouping, liquidity and among other…
Financial Management
The analysis of the data present in the financial statements helps the top level management of the organization to take a correct decision. The decisions taken after proper analysis of the financial statements are appropriate having reduced chances of flaws. The financial statement is known as the raw form of data which cannot be utilized by anyone without proper knowledge. In such case…