Dianmondz Corp report Essay example
Undergraduate
Essay
Finance & Accounting
Pages 3 (753 words)
Download 0
Name: Institution: Professor: Date: Diamondz Corp report 1. Cash flow statement for the year ended 31 December 2012 using the indirect method Operating activities Net income 50,000 Adjustments to reconcile cash Depreciation expense 60,000 Loss on sale of equipment 10,000 Changes in current accounts Decrease in accounts receivable (41,000) Increase in prepaid expenses (9,000) Increase in accounts payable 5,000 Increase in salaries payable 5,000 Decrease in taxes payable (10,000) Cash inflow from operating activity 70,000 Investing activities Purchase of equipment (125,000) Proceeds from the sale of equipment 20,000 Proceeds from the sale of land 90,000 Cash used by investing activities (15,000…

Introduction

To Anoop and Meli, cash flow is very important as it translates the earnings reported in the company’s income statement which is subject to accounting decisions and reporting regulations- into a simple summary of how much cash has been generated by the company during the stated financial period (Porter and Norton 674). Cash flow statement also plays a huge role in facilitation of decision making by the provision of judgments on the financial condition, profitability and company’s financial management. The cash flow statement for Diamondz has a net decrease in cash of 25,000 which indicates that the financing and investing activities were more than the cash inflow during the year which may be an indication of a poor financial performance on the company. b. ...
Download paper
Not exactly what you need?

Related papers

I would like to do my Capstone Project/Strategic Audit on the Kodiak Oil & Gas Corp. Kodiak Oil & Gas Corp, has been an innovati
However, in United States, there are some domestic and independent companies having great potentials for reducing United States’ dependency for foreign fuels. Besides, there are greater opportunities in alternative and renewable fuels and the domestic companies like Kodiak Oil and Gas Corp are having enough experiences and quality to explore such opportunities. There are certain major issues…
Financial Analysis of Target Corp. and JCPenney
Presently, headquarter of the company is situated in Minneapolis. The company has been ranked 22nd by the Fortune magazine within its list under the category of “World’s Most Admired Companies”. Also it has been titled as the 23rd by Forbes magazine within its list under the category of “America’s Most Reputable Companies”. There are many subsidiaries of the Target Corporation:…
Analysis the Sprint Nextel Corp
In 2001, it became the first company to introduce a wireless Java for networking. Sprint Nextel Corporation offers a range of fixed, mobile, and broadband communications products and services. Sprint Nextel is widely recognized for developing, engineering and deploying innovative technologies. Internationally, it is known for internet networking and major development in technology. The cost of…
GM Corp - FORD Corp Business Combination Strategic Growth Plan
The short-term debt of the company amounts to $ 1,682 million in 2011, while in 2010 it was $1,616 million. Based on these figures, it can be said that there has been minor fluctuations in the short-term debt of the company. The sub-components within the short-term debt that can be identified through the financial statements of General Motors are Wholesale financing, which amounts to $1,081…
Strategies and Synergies of Tempur-Pedic International's plan to acquire Sealy Corp
These two companies had agreed to merge and create $2.7 billion international bedding provision. This agreement entails an acquisition of $242 million and assumption of $750 million in debt by Tempur-Pedic International from Seal Corp. Apparently, Seal Corp had raised its shares up by 9 per cent in anticipation of the acquisition by the rival firm. The shares traded at $2.33. Tempur-Pedic felt…
report
Medium sized businesses like XX chemical that wants to diversify into foreign markets and start their business activity there, need to invest huge amount of capital in foreign markets. These types of businesses are the main target customers of leading investment banks across the world (Ritter, 2003, p.278). Medium sized companies generally target the emerging markets for foreign direct investment.…
Investment Appraisal: Matero Corp
The management will have to evaluate the projects which will generate stable cash flows for Matero PLC for at least 1 year. From the onset, we consider the possible consequences of Matero accepting or rejecting the project of procuring the machinery and plant. For this reason, we emphasise on the determination of the cost of capital whether there will be any form of financial leverage or not. If…