Question
According to the annual report for the year ending December 31, 2022 of the Amazon Inc. Task 1 (LO5): Review who manages the company, and
According to the annual report for the year ending December 31, 2022 of the Amazon Inc.
Task 1 (LO5): Review who manages the company, and who owns the company. Have the managers able to enhance shareholders value in past one year? Task 2 (LO1, LO4): Review which accounting concepts and conventions are used by the company (In most annual reports, this information is given in Note no. 1 and Note no. 2 of the Annual reports). Task 3 (LO1, LO4): Review Plant, Property and Equipment from Statement of Financial position and also corresponding notes. Review which items are presented, how they were depreciated (rate/ method), and impaired. Also, review how many more assets have been purchased or sold during the time period. Now research upon where the company might have generated cash for purchase of assets, or if the company has sold assets, where they might have used that cash (Hint: refer cash flow statement). Task 4 (LO2, LO3): Explain the impact of following business decisions on financial statements (on five accounts Assets/ Liabilities/ Equity/ Revenue and Expense) using double-entry book-keeping system: Purchase of a new asset during the year for $100,000, the age of which is estimated at 5 years, post which it can be sold for $10,000. Buying 1000 units of Raw-material at $150 per unit, and selling 750 units of finished goods for $670 per unit. Buying patents for $20000 which is going to give a benefit for 20 years. Task 5 (LO5): Review detailed components of the Income statement, Statement of financial position, and Cash Flow Statement over two years. Highlight at least major changes over the previous year, and explain possible reasons for the changes, and whether these changes are good or areas of concern.
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