Questions tagged [accounting]
61 questions
3
votes
2 answers
Why subtract increase in net working capital to get Free Cash Flows?
Here's the formula for free cash flows I'll be referring to:
FCF = EBIT*(1-Tax Rate) + Depreciation and Amortization – Capital Expenditures – Increases in Net Working Capital (NWC)
If you have an increase in net working capital, you have more…
papercuts
- 151
- 1
- 1
- 5
3
votes
1 answer
Why is issued shares less than outstanding shares
We know that issued shares = outstanding shares + treasury shares. So issued shares must be greater than treasury shares by definition. However, Starbucks' fiscal 2014 From 10-K reports
"Common stock ($0.001 par value) — authorized, 1,200.0 shares;…
Kun
- 195
- 1
- 7
1
vote
0 answers
Does differential analysis include the cost of initial investment?
Not sure where to ask this, but I had this question that asked to do a differential analysis (pretty sure that's the english term, the class is in French) where a company currently sells 60k units a year, with a revenue of 2M\$, variable cost of…
qwerty_99
- 111
- 1
1
vote
2 answers
Why debit and credit impact differently on different type of accounts?
Here is a table that I found in one of the accounting book:
| Account Type | Debits | Credits |
|--------------|----------|----------|
| Assets | Increase | Decrease |
| Liabilities | Decrease | Increase |
| Income | Decrease |…
vasili111
- 111
- 1
0
votes
0 answers
Cost of receivable on bank balance sheet
Consider the derivatives trading activities of a bank and the trading of a derivative contract where the cash settles at some future point in time - 'buying' the derivative is a promise to pay some amount of cash at a future date in exchange for…
Trent Di
- 125
- 6
0
votes
1 answer
Tesla Inc. Cash Flow Statement
Could someone with US GAAP accounting background explain to me the difference between 2018 10-K and 2016 10-K form concerning 'Business combinations, net of cash acquired' for year 2016. I have been comparing the two reports but cannot understand…
D. Dedov
- 11
- 2
0
votes
1 answer
How can I determine whether a UK company trades internationally
Can anyone think of ways to determine whether a UK company trades internationally?
I have seen that possibly if the have 'GB' at the start of their VAT number.
Can any financial ratios signal this?
user30609
- 133
- 5
0
votes
1 answer
Compound Discounting(?)
I am a programmer interning at a small contract furniture company. This company receives multiple discounts from the manufacturers, and I am trying to calculate the end discount. For example, the first discount is 50%, the second discount is 20% off…
chif-ii
- 103
- 2
-2
votes
1 answer
Who is in debt when a bank investments in commercial paper?
If a company issues commercial paper and the bookkeeper, bank A, receives a buy order from bank B, in which bank B creates credit to buy the commercial paper, does the company has a credit in bank B or does bank B owe himself and has the asset of…
user823959
- 107
- 1
- 3