Assets business

There are four broad categories of benchmarks that provide the most valuable insight into the performance of a company business results, cycle time, quality assurance, and asset. Business results are typically financial ratios, cycle time deals with task completion, quality assurance deeds with customer-related measures, and asset benchmarks range from inventory turns to human asset measures (Schwartz, 1998). 

The asset to which the service is being provided meets the objectives set in it s business plan. 

Capital, often referred to as net worth, is the money value of the business, since assets are the money values of things the business owns while liabilities are the money values of the things the business owes. 

Engineers usually have the greatest difficulty in regarding an expense as being equivalent to an asset, as is implied by Eq. (9-125). Let us consider a one-person business. We assume for a given period... 

Concept 3. Going concern means that the accounting is based on the premise that the business will continue indefinitely. It is most unlikely that the values of the assets shown in the balance sheet are what the assets would realize if sold. No attempt is made in normal accounting to measure the value of the business to a potential buyer. 

One of the most important items in an income statement is depreciation expense. Although depreciation should not be thought of as a means to build up a fund to replace plant, it nevertheless does enable money to be retained in the business by reducing the profit available for distribution to stockholders. It is of course a duty of both accountants and management to see that sufficient money is retained in the business to replace assets and to invest such money in other processes or outside investment. 

Eany Common stockholders take the ultimate risk in a business ecause they have no right to a return on their investment. However, they have the right to elect the direciors of the company, who in turn are responsible for the management of the business. Stockholders are likely to vote the board of direciors out if adequate dividends are not paid. Usually the hability of stockholders is limited to the nominal, or par, value of their stock, and hence they can lose only what they have already paid for the stock. If the hability is not hmited by law, the personal assets of the stockholders are at risk in the event of company bankruptcy, in proportion to the amount of stock held. 

Liquid assets are those that can be realized almost immediately, such as cash, accounts receivable, and marketable securities. Although inventories are current assets, they must not be regarded as hquid assets because they cannot usually be converted into cash without winding up the business. 

The systematic application of management policies, procedures, and practices to the tasks of analyzing, assessing, and controlling risk in order to protect employees, the general public, and the environment, as well as company assets, while avoiding business interruptions... 

Equity financing comes 100% from the owners. They are in business to take risks but must realize a higher retuni to make up for this higher risk. Several ways are open to get equity funds. An asset may be sold, common or preferred stock may be sold, or retained earnings may be accumulated. Whatever the source, management must make sure the project is feasible, will pay the debt, and will make a profit. 

In such diverse and sophisticated gas-using economies, security of supply and the efficient employment of producing assets depend upon an extensive network of pipelines that interconnect regions with diverse climates and diverse consumption patterns winter-peaking and summer-peaking demand that is climate-sensitive, business cycle-sensitive, and price-sensitive customers who place a high premium on continuity of supply, and those who are relatively insensitive to risk of interruption. These parties depend to a different degree, and place... 

The ratio of the minimum net assets required supporting the sales volume of the business. From these ratios can be calculated the additional working capital needed if sales are to be increased ... 

There is a formula for business failures based on Dun Bradstreet, Inc. annually published data. The vast majority of the firms involved are small. Why do failures occur D B has offered the following tabular explanation (apparent cause/percent) inadequate sales/49.9, competitive weakness/25.3, heavy operating expenses/13.0, receivables difficul-ties/8.3, inventory difficulties/7.7, excessive fixed assets/3.2, poor location/2.7, neglect/0.8, disaster/0.8, fraud/0.5, and others/1.1. Numbers do not add up to 100% because some failures are attributed to a combination of apparent causes. One can include that product design directly influences competitive weakness and heavy operating expenses. 

Business concerns include company reliance on the system, the establishment of contingency plans, and protection of assets. 

Here, marginal costs are lower than marginal revenues, so a profit is being made, but the level of contribution is not enough to maintain fixed assets and to leave sufficient profit to make the business worthwhile. This can be sustained for the short-term only, unless the enterprise is in some way contributing to the success of a more profitable product. 

Newspaper headlines almost routinely announce mergers and acquisitions of electricity, natural gas and telecommunications companies, the shedding of generation assets, and new ventures in non-energy businesses - known as convergence. ... 

The value of the assets is their value to the company. If they were to be sold on the open market they could not be sold at this price. For instance, if a person won a 3,600 new car in a sweepstakes contest and decided to sell it immediately, he probably could not get over 3,000 for the car. Very few people would want all the optional extras on the car they generally would want to trade in an old car that he would not want they expect the seller to repair it if something is faulty, something he ordinarily could not do and most people would not trust him as much as the dealer who has been in business 25 years. 

These words of Von Schnitzler must be burning in the canny mind of the short, erect Prussian lawyer who looked resentfully at the front row of the dock. Since Von Schnitzler would not speak, it was up to this man to explain Farben s "protection of foreign assets." A lawyer could more cleverly sidestep the prosecution s contention that business negotiations could be as military as armies. The prosecution asked ... 

Asset Any person, environment, facility, material, information, business reputation, or activity that has a positive value to an owner. The asset may have value to an adversary, as well as an owner, although... 

These cash expenses are those necessary to carry on the business, that is, expenses paid to generate revenue. A capital expenditure for plant or equipment generally is not an expense but an addition to the plant or equipment account (an asset). Typical expenses include cost of products sold, repairs, insurance, salaries, property taxes, and so on. 

While less protection may initially reduce the capital investment and the ongoing maintenance costs, the additional risk to company assets, employees, the environment, and the public could be substantial. The potential for escalation increases due to the lack of fire protection systems. Should a company choose less protection, potential adverse affects such as damage to reputation, increased insurance costs, loss of business and customers, as well as possible charges of criminal negligence could become a factor in the event of an incident. 

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