Liabilities Definition Macintosh PICT image format is not supported A liability is probable future payment of assets or services that company is presently obligated to make as a result of past transactions or events
Intercorporate nvestments Definitions Intercorporate investments investments by one corporation in the equity securities of another corporation Parent- corporation who controls, Macintosh PICT enerally through ownership of equity image format
Income Measurement Concepts Illustration Facts: Company with$100,000 in cash Buys condo for$100,000 Rents condo for $12,000 per year End of the first year: Condo valued at
Return on Invested Capital Importance of Joint Analysis Joint analysis is where one measure is assessed relative to another Return on invested capital (ROI) is an important joint analysis
Analyzing Profitability Focus of Profitability Analysis Profitability analysis is key part of financial statement analysis All financial statements are pertinent to profitability analysis Emphasis of profitability analysis is on the income statement
