AEM 2210 Lecture Notes - Lecture 3: Income Statement, Financial Statement, Common Stock

• School: Cornell University
• Department: Applied Economics & Management
• Course: AEM 2210
• Professor: Zeshawn Beg

Document Summary

Alternate times- let tas know beforehand (2 days beforehand) Read chapter- hr, learnsmart (1hr), online + manual= 2 hrs. The identification, measurement and communication of financial information about economic entities to interested parties. Grammar and vocabulary are needed to bridge the gap between understanding and knowledge. The goal is that the audience (analysts, lenders, etc) will be able to make decisions that can improve the. Financing activities: borrowing or paying back money to lenders and receiving additional funds from stockholders or paying them dividends. Investing activities: buying or selling items such as plant and equipment used in the production of beverages. Operating activities: the day-to-day process of purchasing raw tea and other ingredients from suppliers, manufacturing beverages, delivering them to customers, collecting cash from customers, and paying suppliers. Sales revenue- recognized when consumers have either paid or promised to pay for an item. Balance sheet- reports the assets, liabilities and stockholder"s equity at a given point in time.