Friday, February 28, 2020
Financial Statements Essay Example | Topics and Well Written Essays - 2000 words
Financial Statements - Essay Example While the financial statements will provide the overall financial health of the company, SAC board will also be warned of relying solely on the financial statements as the basis for their future decisions. The memo will contain a list of inherent weaknesses that financial statements have in them. a. Income statement - The income statement describes the companyââ¬â¢s revenues and expenses along with the resulting net profit or loss over a period of time. Revenues are those that the company earned through the sale of products or services to customers, or any other form of income that accrues to the company due to its business activities. On the other hand, expenses are those resources that the company has to spend to produce the revenues. The net result is either a net income or a net loss. If revenues exceed expenses, it is a net income. If expenses exceed revenues, it is a net loss. These information are all reflected in the income statement of the company. b. Balance sheet ââ¬â The balance sheet is a financial statement that describes the companyââ¬â¢s financial position at a given time. Its three main components are the assets group, the liabilities group, and the ownerââ¬â¢s equity section. The assets are the resources of the company that are being used to produce the goods and services the company sells to its customers. The liabilities and the ownerââ¬â¢s equity, on the other hand, are the means by which assets are financed and acquired for the company. Liabilities are what the company owes its creditors, while equity is what the company owes its owners or stockholders. A companyââ¬â¢s total assets are equal to all its liabilities and ownerââ¬â¢s equity. c. Statement of ownerââ¬â¢s equity ââ¬â The statement of ownerââ¬â¢s equity is also known as the statement of retained earnings. (Internet Center for Management and Business Administration, Inc., 2010) This statement shows changes in the ownerââ¬â¢s equity, resulting from the operations
Tuesday, February 11, 2020
Strategic Management of Technological Innovation Term Paper
Strategic Management of Technological Innovation - Term Paper Example The main question in strategic management of technological innovation in recent years has been how companies can attain and maintain competitive advantage. In the current economy which is knowledge-based, the endurance of competitive advantage for larger number of companies rests on their ability to constantly create, protect, and deploy their innovations. Virtually all industries across the globe have been faced with heightened need to strategically manage technological innovations in order to endure competitive advantage. Telecommunications industry is one of those industries that have enormously embraced strategic management of technological innovations (White and Garry 12). This paper will focus on the telecommunications industry. Telecommunication industry primarily focuses on products and services that transmit information. This industry provides the world with a global system that touches nearly everyone as it allows people to share their thoughts, interact with one another, a nd conduct business with each other regardless of their location in the world. The sustainability movement has become more and more important for businesses across the world as they face ever-increasing competition and the need to meet and even exceed social, environmental, and economic requirements (White and Garry 19). The sustainability movement in telecommunications industry has gained much prominence in the recent years as researchers and innovators take a whole-systems approach to develop human technologies, lifestyles, and systems that can provide environmentally benign and high quality ways of life to all human beings presently and many generations in the future. The telecommunications industry is characterized by high innovation rates due to fast- changing technological landscape. As a result, the industry is associated with a wide range of sustainability challenges and risks. The industry has been revolutionizing at a rapid rate, especially in the recent decades. This is e videnced by widespread introduction of internet technology, introduction of mobile phones, and recent transition into the using of smart meters and smart phones which has contributed to the rise in the mobile data services (White and Garry 23). The sustainability risks and challenges in the telecommunications industry have been brought about by the following factors: the new technologies that are speedily changing customersââ¬â¢ expectations and requirements; the need for constantly modernizing infrastructure to keep pace with emerging expectations; increased outsourcing of services; increasing demand in mature markets; and fast technological and economic advancement in emerging markets (Schilling 28). Telecommunications industry is one of the biggest, if not the biggest industry in the world. It brings together numerous players who provide products and services that in one way or another facilitates transmission of information around the world. The industry is comprised of commu nications satellite operators, ICT service providers, mobile phone companies, telegraph companies, wireless carriers, internet service providers, telecommunications equipment vendors, and VolP companies among others. The largest company members of the
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