Amazon Financial Statements
Introduction
This paper relates to finance and accounting. The main objective is to assess and examine financial statement of the chosen company. Amazon Inc. was chosen as the target company. It is a retail giant with more than $350 billion of market capitalisation. The company is headquartered in Seattle, Washington. Its main business sector is internet retail. Since Amazon is the US company and its stocks are listed on Nasdaq, the company has to file regularly reports with the SEC. The reports can be found on the website of the regulator at Error! Hyperlink reference not valid.. One of those reports is covered by this paper. It is an annual report which called the 10-K. It contains financial information and key statements. Therefore, it is possible to derive data for the company’s assets, liabilities, equity and its financial performance.
Financial Statements
According to Needles et al. (2012), publishing of the financial statements is part of financial reporting process. The company thereby informs general public, investors, creditors and shareholders about the changes in its financial position and performance over a certain period. The key financial statements are balance or statement of financial position, income statement and cash flow statement. In addition, there is the statement of shareholders’ equity. A balance sheet contains information on a particular date. In case with 10-K, the date is December 31 of a particular year. Therefore,
A company which is publicly traded in the U.S. is required to submit the 10-K form to Securities and Exchange Commission (SEC) once a year. The 10-K form is a comprehensive report of a company’s performance. This report is essential to an investor for evaluating a company’s financial health. For this assignment, I have chosen to consider Macy’s Inc. 10-K form and evaluate its financial condition. I am going to discuss about Macy’s Merchandise Inventories including the inventory method used by Macy’s, Cost of Sales to net Sales Ratio, Inventory Turnover and Days in Inventory.
Separately, the balance sheet reports a company’s financial position while the income statement reports a company’s fiscal year profits and losses. The balance sheet measures a company’s financial position by reporting its assets, liabilities, and owner’s (shareholder’s) equity. The income statement measures a company’s financial performance by reporting its revenues, expenses, and net income/loss. When combined, they serve two vital purposes: (1) expand the accounting equation and (2) enable analysis using ratios to determine industry position or potential material misstatements. The increase or decrease in owner’s (shareholder’s) equity on the balance sheet is a direct result of the net
Based on your review of the financial statements, suggest a key insight about the financial health of the company. Speculate on the likely reaction to the financial statements from various stakeholder groups (employee, investors, shareholders). Provide support for your rationale.
The Form 10-K is the more formal way a publicly-traded company reports its financial status to the Securities and Exchange Commission or SEC. According to Epstein (2014), “
This portion of paper investigates the tangible and intangible assets possessed by Amazon incorporation. According to International accounting standards, tangible assets are listed under the head of property, plant and equipment disclosure. Amazon incorporation have different tangible assets under the head of property plant and equipment which are land and buildings, equipment and internal use software, corporate assets, construction in progress, accumulated depreciation and other related minor assets. The financial analysis of Amazon incorporation suggest that the value of equipment and internal use software for the company enhanced during the period 2014 till 2015 and the value was further increased
The Board of Directors declared a quarterly cash dividend of $0.20 per share on the company’s common stock. This increase in dividend was payable to shareholders of record on closed of business on May 11, 2016. In the first quarter of this year, the company brought back 1.0 million shares of its common stock at a cost of $50.0 million, with the expectation that it will return its free cash flow to shareholders in this year in the form of dividends and share of repurchases. The Cheesecake Factory knows the importance of success, therefore they schedule conference calls and webcast live on the company’s website throughout May 26, 2016. This ensure stakeholders that the company was not in the red, and continue to profit.
The financial statement mostly used by managers within an organization is the balance sheet. The balance sheet lays out all of the company’s assets and liabilities at a certain point in time (Chron, 2013). Management can determine the company’s available cash and if adjustments are needed to the business practices. The balance sheet simply shows the difference between the company’s assets and liabilities, which equals the net worth of the business. Managers must review the balance sheet to determine how the company can repay creditors, finance operations, and if purchases can be made at that time.
The purpose of this essay is to perform financial statement analysis on Amazon.com, Inc. (NASDAQ: AMZN ). We start with an introduction of Amazon and its industry. We then evaluate the company’s financial position, liquidity, operating capability and financial flexibility using different ratios. To evaluate the financial performance of Amazon.com, Inc we disclose recurring NICO and do full ROE disaggregation.
A form 10-k is an annual report that the U.S Securities and Exchange Commission requires. This report is also called the annual report on form 10-k.The 10-k generally has information on a company history such as executive compensation, equity subsidiaries, audited financial statements, company history, organizational structure, and other such information(J. Downs ,2014). These reports give a very detailed summary of the financial performance of a company. Companies that have over 10 million in assets and a class of equity securities, which is held by more 500 owners, have no choice and must file periodic reports. It does not matter if the securities are privately or publicly held. The form has to be provided to any shareholder that asks for a copy. These reports give important information about the company’s fiscal information in a year. Sometime charts or graphs may be included to help break down the information in a less complicated manner for shareholders. Sometimes finical notes may be added as well. These reports generally include income statements, financial summary and also cash flow. Over the years, companies have begun to use many different layout and design for these reports. Companies have even gone so far as to
The financial statement for CMG operation in 2012 showed total revenue increased by $461,676 or 20% increase change from $2,269,548 to $2,731,224. This growth pattern continued into 2013 where the company had a dollar value increase of $483,367. Gross profit for 2012 was $740,340 which represents a $151,113 increase over 2011 operations. The gross profit margin of 26% in 2011 increased by 1% in 2012 and remain constant in 2013 showing that CMG’s operation was profitable enough to manage its operating expenses. It can be safely said that the operation of CMG in 2012 was lucrative as Operating profit margin reflects an upward trend of 2% in 2012 and remains the same in 2013.
The financial condition of a company as reported in the company’s financial statements for a period gives company management the information needed to make vital business decisions including the decision to expand in nature or how to determine industry trends in nature by using a trend analysis. In this paper, I will discuss Landry’s Restaurants management assessments of the financial condition and explain whether or not those assessments agree with my previous assessments supported by a trend analysis. I will also discuss management’s concerns and identify and recommend a course of action for weaknesses not discussed by management.
Part 1 Dr CREDITORS A/C Cr Date Particulars Amount Date Particulars Amount 31-Dec-12 sales a/c 5,000 bal c/d 5,000 5,000 5,000 STOCK A/C Date Particulars Amount Date Particulars Amount 31-Dec-12 sales a/c 5,000 bal c/d 5,000 5,000 5,000 PACKAGING EXPENCE A/C Date Particulars Amount
The topic of this report is Amazon.com. Report reveals the key points of why is Amazon such a unique company with many sections that are doing outstanding job in their field. The topics that this report contains are: company history; current company situation and area of operation; company strategy and future plans; list of some of Amazon’s products; future innovations; and customer service, which is one of the company brightest points. Amazon is a very stable company stock wise and it is constantly growing. Its revenue and profit are increasing every year, for example in 2001 the revenue was 3.1 billion, in 2005 it was 8.5 billion, in 2010 was 34.2 billion, and in 2013 the revenue reached 74.5 billion, based on the data found
The responsibility of this report is to show an opinion on these financial statements based on the audit for K&S Corporation Group. The audit report complied with the standards issued by the Auditing and Assurance Standards Board (AUASB). The standards comply with ethical requirements in order to plan and make a conclusion for assurance.
- The standards and requirements that govern the preparation of the consolidated financial statements 2015 is International Financial Reporting Standards (IFRS). And it’s follow accounting policies.