Accruals, investment, and the accrual anomaly

Article Abstract:

The fundamental investment information found in accrual is investigated upon, and its implications for the accrual anomaly is examined. It is found that accruals co-vary strongly with growth in employee, number fixed asset investments, external financing, and other growth attributes indicating that accruals capture economic fundamentals instead of just earnings persistence /quality. Consistent with the investment hypothesis, the accrual anomaly is found to vary acoss industries in a predictable manner based on a firm's business model.

United States, Accrual Accounting, Investments, Accrual basis accounting, Report

---

Sale of a business: how a deal was saved

Article Abstract:

A West Coast company's acquisition of a Midwestern distributor and manufacturers' representative of industrial pumps pushed through despite a number of initial difficulties. Two of the main problems blocking the deal were the seller's belief that she was not going to be compensated enough in cash to allow her to retire comfortably and her need to work for several more years to increase her and her husband's retirement fund. These problems were solved by selling only six of the seller's eight products.

Business sale

---

Case study: how much to pay for a business or other capital investment

Article Abstract:

Projected and current net cash flows are important measures for any business decision and are crucial when making capital investments. A case is presented demonstrating what considerations to make when acquiring a business. It is shown that the preparation of data for cash flow analysis could be difficult but gives more informed decisions for investments. The net cash flow analysis used in the case may also be used to analyse other business decisions where cash inflow and outflow can be calculated.

Capital investments

Similar abstracts:

• Abstracts: Set your rules on E-mail. Head of small-business panel vows war on federal rules. New rules on immigration
• Abstracts: Human systems intervention and the natural step. Emotional intelligence (EI): how we manage our personality. Authentic consulting: living with the complexities of a relational practice
• Abstracts: Customers at the core. Case in point: reaping rewards. The impact of execution delay on profitability of put-call-futures trading strategies-evidence from Taiwan
• Abstracts: Collaborating across lines of business for competitive advantage. Why executives derail: perspectives across time and cultures
• Abstracts: Corporate responsibility and the environment. Ethics feature continuation: social responsibility: business and the values of our society

This website is not affiliated with document authors or copyright owners. This page is provided for informational purposes only. Unintentional errors are possible.