Financial Reporting Problem Essay

AbstractIn this paper we ordain discuss Walmarts Balance sheet and Income Statement. We lead analyze the guilds perfect assets at the end of the most spick-and-span-made course of studyly reporting twelvemonth and to why it is primal. We then will talk most the associations totality assets, how frequently hard cash and cash eqs did the ships conjunction acquire, as well as, the come of government notes collectible at the most recent year, and from the front year. What the companys net revenues are from the last triplet annual reporting periods, the change in dollars in the companys net income from the most recent annual reporting period to the previous(prenominal) annual reporting period. We will talk about the companys total assets at the end of the most recent year and the previous year from the annual reporting period. Lastly, we will discuss as to what study that has been obtained within this paper that would be strategic to a potential investor, employee and so forth.Financial make-uping Problem, Part 1Total AssetsThe total assets for Wal-Mart as of January 31, 2013 were $203,105,000. The reason this is important for a company or business to know, is so the business bottomland have a better understanding of how much the company is worth. Knowing how much a company is worth is upright because the assets can be used as collateral for a give. as well knowing the assets and comparing total assets to previous eld can channelize if a company is growing and expanding or shrinking. For Wal-Mart, the comparison from the previous year memorialises that the total assets increased. As of January 31, 2012 the company showed total assets of $193,406,000. With the comparison from January 31, 2012 to the current look-alike from January 31, 2013 Wal-Mart grew and/or expanded in total assets by 9,699,000. funds and Cash EquivalentThe total cash and cash equivalent for the end of the year for Wal-Mart as of January 31, 2013 is 7,781,000. Know ing the total cash and cash equivalent will help the company to know how much the company has to spend. No physical composition has the intention of spending more money then what the company has available. If a company has very subaltern cash or cash equivalent then the company will need to ensure if a loan is needed. In consideproportionn for a loan total expenses needs to be considered. If a company like Wal-Mart has enough cash to pay all(a) expenses then a loan isnt needed, moreover if the expense exceeds the cash then a loan is needed. Also another factor to consider on getting a loan is if the money coming into the company will be enough to pay the loan back.Accounts PayableThe accounts payable for the end of the most recent annual reporting period that finish January 31, 2013 is 1,061,000. Knowing the accounts payable helps a company to know one of the companies expenses. This is important because if the companies accounts payable are higher than the money coming in, that could be a problem for the business. Comparing to previous years accounts payable can show many different problems or benefits for the business. final RevenuesWalmart Inc. net revenues from the last troika annual reporting periods are as follows On January 31st, 2011 in the amount of $421,849,000. On January 31st, 2012 the net revenues were $446,950,000 and on January 31st, 2013 it totaled to the amount of $469,162,000. From looking at the reports Walmart Inc. has had an increased from 2011 to 2012 in the amount of $25,101,000 and from 2012 to 2013 has increased to $22,212,000. earnings Revenue helps account for certain price reductions, adjustments and refunds. This is necessary to get the general measure of the veridical top line rather than the bottom line.Net IncomeLooking at Walmarts income statement from the net income of 2013 on January 31st it totaled in $16,999,000. The change from 2012 and 2013 is a increase in $1,300,000. The net income from 2012 is $15,699,000. From looking at the statement and seeing that there is a loss due(p) to non cashable and redeemable non-controlling interest the company has lost net income by 16,998,000 within 2013 but in 2012 only had a 609,000 difference, and in 2011 had a 1,289,000 difference from 2013. When it comes to Net Income it is closely followed and play a huge role in ratio analysis. Shareholders take a close look at the net income due to their compensation of the company. If a business is not generating enough profit, the values of shares fall. It is important to know that net income does not measure to how much cash a company has earned during a given period.Change in Dollars of Net IncomeThe change in dollars of Walmarts net income from 2013 is 16,999,000 and from 2012 it is only a million dollar difference of 15,999,000.Total Assets in Recent Year from yearbook ReportingWal-Mart has reported its be period for fiscal year 2013 chronicle period ends on January 31st of each year. Wal-Marts current tot al of assets as of fiscal year 2013 is $203,105,000.00. Wal-Mart continues to grow in consecutive years with an average increase in assets of $10,000,000 dollars a year for the past fin years. The earnings per share have increased 10.6 percent increasing their shares to $5.02. The company has made earnings in adjunct of $22 jillion watch it a $ 466 billion dollar quite a little. It is with no doubt that the success of the bay window continues on the rise. The great deal owns 4,000 locations in the United States alone adding $10 billion alone in net sales. Further from generating income and investing in produce and assets Wal-Mart has always researched and invested in ways to reduce expenses and operating comprises. Strategies such as training front line and middle managers in operating cost reductions and implementing sales and inventory systems have greatly reduced operating cost in the current successful years.Total Assets from Previous Annual ReportIn fiscal year 2012, W al-Mart had a total of earning of $15.8 billion with a closing total of net sales of $443.9 billion. Since 1992 Wal-Mart has made and increased a total net worth of sales of $400 billion dollars. The corporation strategy for 2012 was to continue to invest in growth and re-enforce in what separates them from their competitors, their low incomparable low merchandise prices. A very unique liking that required greater investments and growth was that of creating a merchandise corporation to the earthly concern that provided a one stop be all shopping store. The corporation concentrated in providing its customers a broad assortment of merchandise which provided customers in a sense a time saving tool in a high tempo life style generation. Wal-Marts manifest and epic success of how effective and efficient their corporation strategies are. In addition Wal-Mart continues to re-invest in its online market and expanding its online strategy.Important InformationWal-Mart received a total of $332 million in common stock in the year of 2013 alone. In 2012 Wal-Mart returned dividends to its investors worth $60 billion in shares. A high flake of their investors are Wal-Mart associates averaging an increased percentage of stocks by the yearly. A yearly score period of accounting provides the corporations accounting state which in return provides transparency to its current investors and a corporate overview of potential new investors. Internally Wal-Mart benefits from these reports in projecting new investments. Strategic Management can influence how much can be reinvested while at the same time have oversight of how expenses, employee and associate management, and operating costs have to be considered before any over spending incurs. Overall an accounting report is essentially the backbone of a corporation. The accounting structure requires having a solid foundation in a corporation in couch to have a successful business. Accounting is the measurement of how much a business fails or it is successful.Referenceshttp//c46b2bcc0db5865f5a76-91c2ff8eba65983a1c33d367b8503d02.r78.cf2.rackcdn.com/88/2d/4fdf67184a359fdef07b1c3f4732/2013-annual-report-for-walmart-stores-inc_130221024708579502.pdf