ACC 561 Week 1
Financial Statement Review
What is the net income for the current fiscal year? Is it up or down from the prior year? Why would this information be important to investors?
The comprehensive income statement for Intel, shows a net income of $9,620 (million) for the current fiscal year. This number is less compared to the previous fiscal year which was $ 11,005 (million). Net income information is important for investors because it measures the profitablity of a firm over a period of time (Investopedia, 2014). Additionally, progressive trends of the net income serve as an indicator of firm performance and decisions of investments or liquidation of assets (SEC, n.d.).
What is the ending balance in stockholders’ equity? Why would a labor union potentially be interested in this information?
The ending balance in stockholder’s equity is $58,256 (million). The balance of shareholder’s equity is obtained from the firms total assets subtracted by total liabilities, therefore serving as an indicator of the net worth. Additionally this information further shows the progress and current health of the firm, which then determines the actions taken by the labor union in terms of negotiating and protecting their members interests in future job advancement and security (Way, 2014).
What is the total value of assets? Why would this information be important to a potential creditor?
The total value of assets is $92, 358 (million). This information is principal for potential creditors because it points to the welfare and profitability of investments (Way, 2014). Also assets are resources possessed by a firm and have economic values, which serve as a guarantee for investments in cases such as or the company being unable to pay for the loans or liabilities (SEC, n.d.).
Intel Reviews are also attached in PDF!!!!