Week 2 Assignment
As a manager, you will usually not prepare financial statements. Your expertise will, instead, be valuable in reading, analyzing, and interpreting them. However, as a learner, preparing such statements will help you to understand them in better detail.
For this Assignment, read the chapter case study “Cash Flows and Financial Statements at Sunset Boards, Inc.” at the end of Chapter 2 of your course text. The case deals with cash flows and financial statements at Sunset Boards, Inc.
Submit by Day 7 all of the following:
Prepare the following financial statements using the Financial Statements Template in this week’s Learning Resources:
- An income statement for 2013 and 2014
- A balance sheet for 2013 and 2014
- Operating cash flow for each year (Ross et al., 2014)
Write a 250-word paper using the Assignment Template in this week’s Learning Resources that addresses the following questions:
- How would you best describe Sunset Boards’ cash flows for 2014? Write a brief discussion.
- In light of your discussion in the previous question, what do you think about Tad’s expansion plans?
Week 2 Learning Resources
This page contains the Learning Resources for this week. Be sure to scroll down the page to see all of this week’s assigned Learning Resources.
- Ross, S. A., Westerfield, R. W., & Jordan, B. D. (2012). Essentials of corporate finance (8th ed.). New York, NY: McGraw-Hill/Irwin.
- Chapter 3, “Working with Financial Statements” (pp. 53–96)
- U.S. Securities and Exchange Commission. (n.d.) Beginners’ guide to financial statements. Retrieved http://www.sec.gov/investor/pubs/begfinstmtguide.htm