Economics, GAAP and Investments - Corporate Finance Brief

How Alpha Hides in GAAP Accounting: Return on Equity

CFA Institute

MARCH 5, 2021

You can find significant alpha in the mechanics that drive GAAP accounting.

GAAP

GAAP Accounting Performance Measuring Accounting Standards

Digital acceleration to drive finance leadership in 2022

Future CFO

DECEMBER 31, 2021

In response, 82% of CFOs report that investments in digital are accelerating faster than in other areas, including talent, supply chain, business services or fixed assets. Their responsibilities already entail ensuring that the financial report is accurate, complete and verifiable, according to GAAP accounting standards and disclosures.

Leadership

Leadership Finance GAAP Forecasting

Alibaba’s Annual Active Consumers On China Marketplaces Hits 742M

PYMNTS

AUGUST 20, 2020

We mobilized our entire digital infrastructure to support the economic recovery of businesses across a wide range of sectors, while broadening and diversifying our consumer base by addressing their changing preferences in a post-COVID-19 environment,” Zhang said. “Our As for its overall results, Alibaba reported non-GAAP net income of $5.6

GAAP

GAAP Economics Retail Investments

Webinars

Elevating Accounting Practices: The Power of Outsourcing and Automation in the Digital Age

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Are Your Compliance Processes Keeping Up with Evolving Audit Requirements?

Bramasol

MAY 13, 2024

FASB's role and functions include: Standard-Setting: The primary responsibility of the FASB is to develop and update Generally Accepted Accounting Principles (GAAP), which serve as the foundation for financial reporting by public and private companies, non-profit organizations, and government entities in the U.S.

Auditing

Auditing Compliance SAP Accounting Standards

How to create & use pro forma statements

Cube Software

MAY 11, 2023

Pro forma financial statements and GAAP It's important to note that, since pro forma statements are based on hypothetical or projected data, they are not compliant with generally accepted accounting principles—GAAP statements must be based on actual financial results.

GAAP

GAAP Financial Planning and Analysis (FP&A) Profit and Loss Accounting Principles

Highest Paid CFOs in the World in 2024

The Finance Weekly

MARCH 25, 2024

In a nutshell, companies are starting to view CFOs as smart investments rather than just expenses. She led Oracle's transition to cloud computing which skyrocketed the company's industry status and has successfully guided Oracle through challenging economic periods. Highest Paid CFOs in the World in 2024 1.

CFO

CFO Finance Forecasting GAAP

Musings on Markets: Data Update 5 for 2022: The Bottom Line!

CFO News Room

JANUARY 18, 2023

Income from financial holdings (including cash balances, investments in financial securities and minority holdings in other businesses) are added back, and interest expenses on debt are subtracted out to get to taxable income. Returns on Invested Capital (or Equity). The numbers yield interesting insights. .

Marketing

Marketing Hurdle Rate Investments Accounting

Refreshing Revenue, the Cash Conversion Cycle, and Free Cash Flow

CFA Institute

APRIL 5, 2021

GAAP sometimes misrepresents business reality. We can use that fact to generate some alpha.

GAAP

GAAP Performance Measuring Accounting Standards Economics

Uber Expects Revenue Plunge As It Retracts 2020 Guidance

PYMNTS

APRIL 17, 2020

It is also anticipating a GAAP revenue drop of $17-$22 million in the first quarter and $60-$80 million in the second quarter. billion impairment charge — a writeoff for worthless goodwill — against the carrying value of its minority equity investments. Further, the rideshare giant said it is expecting a $1.9-$2.2

Profit and Loss

Profit and Loss GAAP Forecasting Economics

2023 and Beyond: Budgeting & Planning with QuickBooks Online Advanced to Manage Through Constant Change

Centage

DECEMBER 7, 2022

All of which are critically important as businesses to continue to navigate a constantly changing economic landscape. Whenever there’s shift in the economic cycle change is always required. We have many customers that use the QuickBooks products, so we are very familiar with their budgeting and planning needs.

Budgeting

Budgeting Planning Forecasting GAAP

EBITDA in Financial Analysis

Spreadym

OCTOBER 27, 2023

Investment Decisions: EBITDA can be a valuable metric for investors and potential buyers. Companies need to invest in new equipment, facilities, and technology to stay competitive and sustain their operations. Ignoring CapEx can lead to an overly optimistic view of a company's financial health.

Financial Analysis

Financial Analysis Valuation GAAP Accounting Principles

What is Net Book Value?

The Finance Weekly

APRIL 6, 2024

This measure is a direct product of fair value reporting, a principle insisting that assets be reported at their market value, which forms the bedrock of financial reporting standards under US GAAP. Financial investments like stocks and bonds. These include: Land, as it generally does not lose value over time.

GAAP

GAAP Accounting Principles Financial Reporting Accounting Standards

Data Update 5 for 2022: The Bottom Line!

Musings on Markets

FEBRUARY 27, 2022

Income from financial holdings (including cash balances, investments in financial securities and minority holdings in other businesses) are added back, and interest expenses on debt are subtracted out to get to taxable income. The numbers yield interesting insights.

Hurdle Rate

Hurdle Rate Investments Accounting Entertainment

Lending Club’s Terrible Twos

PYMNTS

DECEMBER 10, 2016

and around the world, massive investments from the biggest names in tech, and a seemingly unending pile of praise for the firm that was going lead the charge to reform — for the better — the battered and bruised consumer credit markets in the post-recession world. But it did push back that its non-GAAP metrics are “not misleading.”.

GAAP

GAAP Compliance Valuation Auditing

Disclosure Dilemma: When more (data) leads to less (information)!

Musings on Markets

JULY 14, 2021

Almost in parallel, accounting as a profession found its footing and worked on creating rules that would apply to reporting, at least at publicly traded companies, with GAAP (Generally Accepted Accounting Principles) making its appearance in 1933.

GAAP

GAAP Forecasting Accounting Numbers

Best Practices from the CFO Suite

BlueLight

JULY 30, 2020

Forward In the current economic crisis, business leaders from early-stage startups to large multinational corporations have had to make difficult decisions. In the startup world, unit economics is the new product market fit. Especially in times like these, it’s very important for unit economics to be strong.

CFO

CFO Financial Planning and Analysis (FP&A) Strategic Planning Startups

Data Update 1 for 2021: A (Data) Look Back at a Most Forgettable Year (2020)!

Musings on Markets

JANUARY 9, 2021

Put simply, I possess no exclusivity here, and staying consistent with my thesis, I don't expect to expect to make money by investing based upon this data. So, why bother? You would like those answers now, but stay tuned to the rest of my data updates and the data will speak for itself.)

Valuation

Valuation Currencies Numbers Corporate Finance

Nonprofit Accounting Basics for Founders, Board Members & Executives

The Charity CFO

JANUARY 17, 2022

Revenue is inflows that increase economic wealth. Expenses are outflows of cash that decrease economic wealth. Accrual accounting is required by Generally Accepted Accounting Principles (GAAP), which means that you’ll need accrual-based reports to complete a nonprofit audit. Donations of goods (food, clothing, supplies).

Nonprofit

Nonprofit Accounting Profit and Loss Accounts Payable