Friday, 4 March 2016

ADM 537 Workshop One 1.2 Dropbox Accounting, Finance, and Corporate Taxes


ADM 537 Workshop One 1.2 Dropbox Accounting, Finance, and Corporate Taxes
Background Information

In this assignment, you will read about corporate finance, the financial manager and the different forms of business, the Balance Sheet, Income Statement, how to analyze cash flow, and the impact that the earnings of a business has on the tax expense that is incurred.  The assigned case studies will allow you to explore the pros and cons of different forms of business while considering the financial implications of the ultimate decision.
Instructions

1. In your textbook, Fundamentals of Corporate Finance, read:
a. Chapter 1, “Introduction to Corporate Finance,” pages 1–10 (sections 1.1, 1.2, and 1.3)
b. Chapter 2, “Financial Statements, Taxes and Cash Flow,” pages 20–29 and 32–39 (sections 2.1, 2.2, 2.3, and 2.4)
c. As you read, think about your own personal budget and how you determine whether your household is increasing or decreasing its wealth.
2. Download and review the PowerPoint files Chapter 1 – Introduction to Corporate Finance.pptx and Chapter 2 – Financial Statements, Taxes, and Cash Flow.pptx to help you further understand the chapters.
3. In a Word document, complete the following:
a. Considering what you read in the first three sections of Chapter 1, answer the three questions about the Mini-case “The McGee Cake Company” on page 19 in the textbook.
b. Using Excel, complete:
i. Problems 6 and 7 on page 43

ii. Problem 19 on page 45

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