Create a 10 slide presentation.

Choose a publicly traded company. Using the most recent SEC 10-k or Annual report, address the following:

• Company Name
• Provide the Company’s cash balance for the past 2 years.
• Provide the Company’s accounts receivable for past 2 years.
• Identify the Note that discusses ‘Cash and cash equivalents’ and summarize it.
• Identify the Note(s) relevant to accounts receivable and discuss the key accounting policies.
• Discuss the allowance for doubtful accounts.
• Provide the Company’s inventory balance for the past 2 years.
• Discuss the Company’s policies for reporting inventory.
• Compute the AR turnover and Days Outstanding for Receivable.
• Compute the Inventory turnover and Days Sales in Inventory.

See attached Grading Guide for grading guidelines and instructor notes below.

Instructor Comments:

The SEC.gov website under the EDGAR section is the most reliable source for financial reports on US based publicly traded companies.

Do not choose a foreign company – they do not follow US GAAP.

It is easiest to complete this assignment using a manufacturing company or a business to business company where most of the sales are on account.  

Retailers do not work well for this assignment since they usually don’t have many sales on account and the AR ratio calculations cannot be easily calculated.

Use the 10-K, not the 10-Q.  The information for this assignment is in the notes to the financial statements and on the balance sheet.  Choose a company that has all 3 elements – cash and cash equivalents, Accounts Receivables and Inventory.  A substantial grade deduction will be imposed for using a company that does not have cash, accounts receivables or inventory.