Warf Computer Case Study Essay Sample

The hard currency flow at Warf Computers. Inc. is as follows:
Operationss
Net Income $ 896
Depreciation $ 191
Deferred Taxes $ 13
Changes in assets and liabilities

Histories receivables – $ 37
Inventories – $ 17
Histories collectible $ 20
Accrued disbursals – $ 118
Other – $ 11
Entire hard currency flow from operations $ 937
Investing Activities
Acquisition of fixed assets – $ 786
Sale of fixes Assets $ 139
Entire hard currency from puting activities – $ 647
Financing Activities

Retirement of long term debt – $ 98
Returns from long term debt gross revenues $ 118
Change in notes collectible $ 5
Dividends – $ 212
Repurchase of stock – $ 40
Returns from new stock issue $ 11
Entire hard currency from funding activities – $ 216
Change in hard currency $ 39
Description of Cash Flow for Warf Computers. Inc.

Overall company hard currency flows is positive. The company has positive result in respects to its net incomes. The company has the pecuniary agencies to put in the hereafter. and was able to return money to its stockholders and pay its creditors/lenders. The company appears as it will be able to cover paysheet and immediate disbursals. It is appealing to possible loaners. investors. employees and stockholders. Cash Flow Statement that Accurately Describes the Cash Flow at the Company Harmonizing to Jaffe. et Al. ( 2012 ) . “perhaps the most of import point that can be extracted from fiscal statement is the existent hard currency flow of a firm” ( p. 29 ) . It seems there are several methods of pull stringsing informations to increase operating hard currency in order to increase the value of the house and its sensed ability to bring forth more hard currency flow. An accurate statement that describes the hard currency flow at the company is “cash flow is non the same as net working capital” ( Jaffe. et Al. 2012 p. 29 ) . Cash flow utilizes both stock list and hard currency as current assets. In respects to Warf Computer’s. Inc. . fiscal determinations within the company provides a positive penetration to the direction of the company. Expansion Plans of Nick Warf

The enlargement programs integrating practical keyboards. a high degree of engineering. seems to be a promising thought. The company was able to supply a return to their stockholders. Reallocation of the company hard currency flow may hold been put to better usage in respects to Mr. Warf’s enlargement programs. Decision

The fiscal statement of hard currency flows for Warf Computers. Inc. indicates that the company is traveling in a positive way in respects to direction of its resources. This papers is of import due to being “statement that tracks all the money coming into your concern and all the money fluxing out from it” ( Carabelli 2013. p. 1 ) . In reexamining the balance sheet and income statement for this company. it has a positive hard currency flow and is able to supply a return to shareholders and loaners.