Looking for a quick data analytics exercise for financial statement analysis in an introductory accounting class? You can give your students the link for this financial statement analysis dashboard and then ask a series of questions. There is no software for students to install; the dashboard is hosted on Tableau Public and can be accessed […]
Continue readingHow will Dropbox’s upcoming initial public offering of its stock impact its balance sheet?
Dropbox, Inc. has filed an SEC report, indicating that it plans to raise $500 million through its Initial Public Offering (IPO) sometime in 2018. It will be issuing common stock. Dropbox was started in 2007 and is designed to allow people to have their files anywhere they are. There are over 500 million registered Dropbox […]
Continue readingHow are CVS’s balance sheet and ratios impacted by its $40 billion bond issuance?
CVS Health Corporation issued $40 billion in bonds on Tuesday, March 6, 2018. This bond issuance was the third largest US corporate bond issuance in history (the others were Verizon Communication Inc.’s $49 billion deal in 2013 and Anheuser-Busch InBev SA’s $46 billion offering in 2016.) CVS issued the bonds to raise funds to pay […]
Continue readingGiven that Toys “R” Us has declared bankruptcy, what are its current, quick, and debt ratios?
Toys “R” Us (see https://www.toysrusinc.com/investors) declared Chapter 11 bankruptcy protection in September 2017, for its US operations. The toy retailer is seeking to restructure or remove some of its debts. Toys “R” Us is also looking to take similar actions for its Canadian operations. Here are the two most recent Toys “R” Us balance sheets. […]
Continue readingHow will Walgreen’s leases impact its financial position under the new FASB lease standard?
Under the current accounting treatment for leases, if a lease meets certain characteristics, it is classified as an operating lease and only the lease payments are shown in the financial statements in the income statement; there is no liability recognized for the lease obligation. In February 2016, the Financial Accounting Standards Board (FASB) issued ASU […]
Continue readingHow do Facebook and Twitter’s current and debt ratios compare?
Facebook, Inc. (NASDAQ: FB), and Twitter, Inc. (NYSE: TWTR), are two of the most popular publicly-held social media companies. Both are relatively young companies; Facebook was founded in 2004, while Twitter was started in 2006. To follow are adapted and condensed balance sheets for both Facebook and Twitter as of December 31, 2015. Please note: […]
Continue readingWhat is the impact on American Apparel’s current ratio of the loan it received from Standard General?
American Apparel has been in the news in recent weeks. Its board fired CEO Dov Charney amid several reports of his misdeeds. The company has also lost $270 million over the past three years. Last week, one of American Apparel’s creditors, Lion Capital, called a $10 million loan it had made to American Apparel. (“Calling” […]
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