Question
business law 5353 As shown on the balance sheets above, Glenwood has more current assets than Eads. This is a good sign of liquidity for
business law 5353
As shown on the balance sheets above, Glenwood has more current assets than Eads. This is a good sign of liquidity for Glenwood, but again, not the only aspect to consider when investing in a company. Eads has much more property, plant, and equipment, which is advantageous when looking at the company from an investment aspect. Eads also has more debt than Glenwood, but this is not necessarily a bad thing. Eads' increased debt involves the capitalized lease agreement as a liability while Glenwood's debt does not include this. Overall, Eads has more debt, but this also means that they have more assets than Glenwood. An investor would consider both of these items from the balance sheet and compare them to their investment goals to then make a decision on which company to invest in. Based on the information presented in this case and above in my analysis of the information, I would personally rather lend money or invest in Eads Heaters. This company seems to be more conservative with their accounting methods. Using the last in, first out inventory system provides a more accurate look at cost of goods sold, while the larger percentage of accounts receivable used to estimate bad debt decreases net income according to which customers the company believes will pay for their sale on credit. Additionally, Eads' net income is lower, and therefore the income tax expense they incur for the year is also lower. Lower net income allows for fewer taxes to be paid and thus fewer expenses. Eads has less current assets than Glenwood, but more property, p As shown on the balance sheets above, Glenwood has more current assets than Eads. This is a good sign of liquidity for Glenwood, but again, not the only aspect to consider when investing in a company. Eads has much more property, plant, and equipment, which is advantageous when looking at the company from an investment aspect. Eads also has more debt than Glenwood, but this is not necessarily a bad thing. Eads' increased debt involves the capitalized lease agreement as a liability while Glenwood's debt does not include this. Overall, Eads has more debt, but this also means that they have more assets than Glenwood. An investor would consider both of these items from the balance sheet and compare them to their investment goals to then make a decision on which company to invest in. Based on the information presented in this case and above in my analysis of the information, I would personally rather lend money or invest in Eads Heaters. This company seems to be more conservative with their accounting methods. Using the last in, first out inventory system provides a more accurate look at cost of goods sold, while the larger percentage of accounts receivable used to estimate bad debt decreases net income according to which customers the company believes will pay for their sale on credit. Additionally, Eads' net income is lower, and therefore the income tax expense they incur for the year is also lower. Lower net income allows for fewer taxes to be paid and thus fewer expenses. Eads has less current assets than Glenwood, but more property, p
These basic systems will help countries attract foreign investors, which can be crucial to economic development.
1.Essentially, in business law, _________ is an extensive sort of application initiatives which involves _________.
2.From business law blended with business intelligence ideologies, _______ _______ facilitates ventures to attain business merit from information. Immediately after what is this mechanism realized?
3.In which terms does the BI carry the capacity to catalyze the accomplishment of a venture?
4.Is it apt to conclude that there are chances of strangers being contemporary to a consideration?
5.Fundamentally, a minor's agreement is?
6.What does the threat to commit suicide bring as consequence in relation to business law?
7.Centered on the law of torts, basing on the ideal execution of the contractual prerequisites by the parties, the contract is?
8.In a situation of anticipatory breach, the aggrieved party may treat the contract as?
9.Basing on a contingent contract, what does it rely on concerning future transpirations?
10.Once an offeree fails to decline offer, what transpires?
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