Homework: Every Number Tells a Story
Understanding how the three basic financial reports (Income Statement, Balance Sheet, and Cash Flow Statement) correspond to an overall measurement strategy is going to be critical to your future success as a business manager. Berman and Knight (2006) call it Financial Intelligence and tell us that you need to look at the business financial results within a big picture framework and include factors such as competition, regulations, the economy and changing customer needs.
For this homework, you will select an organization in which you have an interest; for example, you may be interested in learning more about your chosen organization's financial statements for research or investment purposes. Or, your reason for choosing your organization can simply be due to the ready access to data.
Review the financial picture and the current company success/trouble in the marketplace. You may include the financial statements as an attachment, but the main focus of this discussion response is to present a picture of the company and talk about success using the numbers as a base. Include the following data points in your response as a base and include additional information as you deem important to the response:
Main Response
i. Company Name and relevant information.
ii. How did the numbers provide information to you as a base about areas of success, opportunities for improvement?
iii. What other factors did you research (i.e. recent relevant events, for example a merger or an expansion) to increase your understanding of the numbers.
iv. Is this company operating under the principles of Conscious Capitalism?
v. If you were to be called in as a consultant to the company leadership, what recommendations would you have to increase company success using the numbers as a base?
Response to Peers
o Select at least one peer response and conduct additional research to add depth to the information that is posted. Include insights that you have gained from reading the peer post and from the additional research you completed.
Format your homework according to the following formatting requirements:
i) The answer should be typed, using Times New Roman font (size 12), double spaced, with one-inch margins on all sides.
ii) The response also includes a cover page containing the title of the homework, the student's name, the course title, and the date. The cover page is not included in the required page length.
iii) Also include a reference page. The Citations and references must follow APA format. The reference page is not included in the required page length.
Reference
o Berman, Karen & Knight, Joe & Case, John. (© 2006). Financial intelligence: a manager's guide to knowing what the numbers really mean.