Using the statement of cash flows to analyze corporate performance
Article Abstract:
The statement of cash flow is a useful tool in evaluating a company's financial position as well as its corporate performance. The recently released Financial Accounting Standard 95 improves the utility of the cash flow statement. This standard can be improved upon with certain ratios, which help to show the relationships between the company's various asset allocations. These ratios can help illustrate quality of earnings, financial management, mandatory funds flow, and discretionary funds flow. These in turn provide insight into management's cash policies, performance, and priorities.
Publication Name: Management Accounting (USA)
Subject: Business, general
ISSN: 0025-1690
Year: 1988
User Contributions:
Comment about this article or add new information about this topic:
1 + 1 = 3
Article Abstract:
The successfully executed merger has a synergistic effect on the output of the participants. The newly formed company should produce more than the total of the two previously existing companies. This means corporate growth and enhanced profitability. Using acquisitions to hedge business risks through diversification, a common practice in the 1960s, is no longer fashionable. The acquisitions most likely to produce a synergistic effect are horizontal integrations that expand product lines or geographic marketing areas.
Publication Name: Management Accounting (USA)
Subject: Business, general
ISSN: 0025-1690
Year: 1987
User Contributions:
Comment about this article or add new information about this topic:
- Abstracts: The management of intellectual assets: a new corporate perspective. How to control a joint venture even as a minority partner
- Abstracts: Accounting lag: the obsolescence of cost accounting systems. Point of view: expensing employee stock options is improper accounting
- Abstracts: Organizational dysfunctions of decline. The romance of leadership and the evaluation of organizational performance
- Abstracts: The incremental information content of the accrual and funds components of earnings after controlling for earnings
- Abstracts: What's in a name? Reputation building and corporate strategy. The strength of strong ties: social networks and intergroup conflict in organizations