4
votes
Accepted
Profit and loss statement without any sales
Inventory costs would go into the Inventory account; which is not on the P&L, it is a balance sheet account. Once a sale is made, the cost of that sale is posted to Cost of Sales and offset ...
- 243
4
votes
Accepted
How to find a public company's balance sheet and income statement?
The balance sheet and income statements are located in the 10-K and 10-Q filings for all publicly traded companies. It will be Item 8.
- 10.2k
4
votes
How does writing off a bad debt affect the balance sheet?
The accounting equation is like so: : Assets - Liabilities = Equity (Owners or Shareholders)
When an entity first makes a transaction (like, say, a sale with payment arrangements to collect money ...
- 11.7k
3
votes
Accepted
Income Statement number differ between websites. Where is the truth?
What WSJ, SeekingAlpha, and other data aggregators do is collect data from thousands of companies' financial statements and "normalize them" so that different companies are comparable, and ...
- 130k
2
votes
How does writing off a bad debt affect the balance sheet?
you don't just remove it from the balance sheet, but 'write if off' as a loss. It will then be in the gain/loss total (reducing the gain accordingly), and the balance sheet will still balance out.
...
- 37.6k
2
votes
How to find a public company's balance sheet and income statement?
Filter by the filings when you look at the search results. The 10-K will include the annual report, which included fiscal year-end financial statements. Quarterly reports and statements are in the ...
- 130k
2
votes
Profit margin and gross profit percentage: missing info in income statement?
Both companies referenced above report under IFRS (or at least the Australian equivilent), however, they seperate costs differently -- BHP under nature of expense method and FMG under function of ...
- 436
2
votes
Accounting Question - Combining Vertical Analysis with Horizontal Analysis of financial statements?
Basically, I am saying whether it will be considered correct if I firstly perform vertical analysis on the statements by turning line items into percentage of total asset or revenue, then perform ...
- 9,312
2
votes
Accepted
Is Apple's depreciation now $12.5 or $11.3 billion?
Depreciation is sometimes included in Cost of Goods Sold if the depreciation is for an asset that is directly involved in the revenue-generating activities of a company. An example might be equipment ...
- 130k
2
votes
Personnel costs recorded twice in the income statement?
This accounting-training site provides some example data and everything:
https://corporatefinanceinstitute.com/resources/knowledge/accounting/wage-expense/
Bottom line - every dollar of wages paid is ...
- 715
1
vote
Subtract D&A is necessary
No, you should not subtract it again. It is already included in one of the other line items, most likely Cost of Revenue. Just because it is not broken out into its own separate line item does not ...
- 130k
1
vote
Accepted
Understanding Days Sales Outstanding (DSO) Ratio
AR is the amount of sales on credit that have not been collected yet. As new credit sales are made, AR goes up, and as people pay their bills, AR goes down.
As you look at a larger time period, the ...
- 130k
1
vote
Income Statement number differ between websites. Where is the truth?
The "truth" is what the companies report in their SEC filings, specifically their 10-Ks/10-Qs. It's possible that WSJ is sourcing from the 8-K earnings release, which can differ slightly ...
- 356
1
vote
Does a public company's tax comes from financial reports?
Companies, just like people, have to complete and file tax forms. The items and numbers are directed by the applicable tax laws in the various jurisdictions they operate in. Taxes could include income,...
- 136k
1
vote
Booking Holdings Cost of Revenue
Sorry, I found it in the footnotes:
There was a change in accounting standards on January 1st, 2018, hence Booking Holdings no longer reports Cost of Revenue but they are instead included in the ...
- 131
1
vote
How is minority interest accounted for when calculating net income
When I look at an income statement, I see that "net income" is equal to "net income to
company" minus "minority interest in earnings". Looking at the cashflow statements, ...
- 11.6k
1
vote
Is my HOA's balance sheet healthy?
The first thing That I would require is that the HOA provide the 2018 numbers. Many will also have quarterly numbers to cover some of 2019. The quarterly numbers are harder to judge because some items ...
- 136k
1
vote
Negative line items under Revenue/Gains in a P&L / Income statement
Am I potentially confusing the meaning of Revenue/Gains by including negative values in there?
No, it's common to have negative values in some accounts that normally have positive values. In this ...
- 130k
1
vote
Is there any resource that provides a list of the most used/common components of the different statements (e.g. balance sheet) of an annual report?
These Investopedia articles cover many of the most common items:
Balance Sheet
Cash Flow
Income Statement
- 2,781
1
vote
Why does BHP have zero cost of revenue in their statements?
It's a data problem. Google finance does list a Cost of Revenue, which is still different than their financial statements.
Note that BHP is an Australian company, so their financial reporting ...
- 130k
1
vote
Bank - bad loan provision & bad debt written off
Probably need to look more deeply into the 10-K.
The allowance for loan and lease losses (ALLL) from the B/S is sort of a pre-determined number based on the bank's current loan portfolio and recent ...
- 1,809
1
vote
How to find a public company's balance sheet and income statement?
The websites of the most publicly traded companies publish their quarterly and annual financials. Check the investor relations sections out at the ones you want to look at.
- 303
1
vote
Financial statement analysis when interest received exceeds interest expense
My question is, should I separate the interest expense from interest received, and use the interest expense figure to calculate the Interest Coverage Ratio?
Yes - the Interest Coverage Ratio is how ...
- 130k
1
vote
How to include loan repayments in income statement?
A few years late, and I'm sure you've figured it out yourself by now, but in general, you shouldn't include loan repayment amounts in an income statement--only interest. That said, I understand what ...
- 356
1
vote
Few questions related to Balance sheet and Income Statement?
1.) There is no logic in this question, because when there is an increase in net income for the year it will be in the form of something, ie it can be cash and cash equivalent like cash in hand or ...
- 11
1
vote
How does writing off a bad debt affect the balance sheet?
You have to reduce the amount of debtors by the amount of bad debts. Hence, the amount of bad debts is deducted from the Debtors in the Current assets in Balance Sheet to show the true and fair ...
1
vote
Can net income attributed to shareholders exceed firmwide net income?
The OP appears to have at least four misunderstandings:
It is not implausible for “income attributable to common shareholders” to exceed the net income of the parent company.
The amount allocated to ”...
- 116
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