Articles Tagged ‘investments’
The design of control tests established by the administration and management of investments are vital because these owners must provide reasonable assurance that investments there were authorized and are owned by the company at the date of Balance General The establishment of controls can help business managers to establish a very high degree of trust between him and the owners and even more so when it is extended in business investment since they are a resource in the long term. INVESTMENT OVERVIEW Business investments primarily include: Securities of companies or institutions affiliated subsidiaries or affiliates. Marketable securities. Mortgage loans. Surrender values of life insurance. When entrepreneurs and investment managers must assess the type of investment to be undertaken, the tools used are: Often In many cases the investment has operations and does not take appropriate measures to safeguard these resources 1. Internal check Purchases and sales of securities ...
Refers to study the possibilities of the company to cover its debts in the short and long term. The short-term debts are covered through the use of current assets (cash, cash, bank, accounts receivable) and calculated using the following relationship. Current Assets / Current Liabilities This ratio should be greater than 1 because there must always be an adequate margin to meet the needs of immediate payment which must be incurred. The ability to service debt in the long term, based on earnings, expected sales gain, when the project enters its normal operating phase. Expected profits set the borrowing limits and conditions of payments of principal and interest. This ability to pay long-term consists of earnings and expenses, which are not expenditures, including depreciation and measured by the coverage rate of the debt. Ultimately, utilities will be reached in the exercise once Deducting the payment of taxes, employee participation, profit sharing, etc., which allows us to c...
1. - What is a financial statement? It is a document whose purpose is to provide information on the company's financial situation to support decision-making. 2. - What is the financial situation in the company? Is the situation that is according to the results once the operations have been performed to date or period? 3. - What is the point of contact between the statement of financial position with the statement? The focal point is the profit or loss realized from the exercise. 4. - What statements do you know? The income statement, the statement of costs of production, income statement and statement of changes in financial position. 5. - How do you determine the cost of sales? Initial Inventory + Shopping = Available - Final Inventory = Cost of sales 6. - How do you determine the cost of production and of sales? The cost of sales shows the cost of production or acquisition, as the processor or trader of goods sold that generated the income reported on line sales. 7...
In the 80's, a massive presence of the informal sector of the economy characterized the underdevelopment of Latin America, and Peru was no exception, and on the contrary our economy was invaded at any moment by a multiplicity of small and micro enterprises engaged in various activities both productive of goods and services, all of which require adequate support credit. In this context, in May 1980 decree promulgating the Law 23039 which regulates the establishment and operation of the municipal savings and credit beyond the scope of Lima and Callao, whose goal was to be decentralized financial institutions geared to the attention of those segments population have no access to formal credit system. This document contains the results Economic - Financial derived by an enterprise of Financial Inter mediation "Micro Finance" at December 31, 2004 on the basis of data adjusted Trial Balance and statistical information of the institution and the system of municipal savings. Balance Shee...
The analysis of the financial statements of the company, is part of a process of information whose fundamental objective is to provide data for decision-making. Users of this information are many and varied, from business managers interested in evaluating it, financial managers about the viability of new investments, new projects and what is the best way of financing to foreign banks on whether to grant credit or not to undertake such investments. The professor of the Autonomous University of Mexico, Mr. Juan Antonio MartÃnez, in the Diploma in Finance provides: "The financial analysis is a tool or technique that applies the financial manager for the historical evaluation of a public or private social agency. The method of technical analysis as applicable to the interpretation, shows the following order to separate and understand the numerical descriptors and integrate the contents of the financial statements. From the above it follows that the Economic and Financial Analysis is...