AFM101 Chapter Notes - Chapter 1: Six Swiss Exchange, Cash Cash, International Financial Reporting Standards

• School: University of Waterloo
• Department: Accounting & Financial Management
• Course: AFM101
• Professor: Donna Ptsuka

Document Summary

Founded in 1866 by henri nestle, pharmacist developing a baby formula, safer and more nutritious than existing breast milk substitutes. Next 40 years set up factories in us, britain, germany and spain. 1920s, expanded into new products e. g. chocolate production as second most important activity: continued growth as result of innovation and acquisition of other companies, nestle, kitkat, nescafe, coffeemate, smarties, cheerios, perrier. Investors: individuals who buy small percentages of large corporations. Dividends: a portion of what the company earns in the form of cash payment received by investors. Eventually sell share of company at higher price than paid. Financing activities: exchanging money with its lenders and owners. Suppliers: from which companies purchase ingredients and accessories. Accounting is a system that collects and processes (analyzes, measures and records) financial information about an organization and reports that information to decision makers. Usually require continuous detailed info to plan and manage day-to-day operations.