Accounting
bts951230
Accounting.docxTesla & General Motors
Segmented Info for both companies
· Breakdown of revenue by product and by country
· Build your Companies income statements in Excel. Produce consolidated income statement first
· Then build segmented income statement (At the revenue level) by product as well as by country.
· Be able to produce ratios at the consolidated level as well as at a micro level.
Executive compensation for both companies
· What was the total compensation for the CEO’s of your two companies over the last year?
· How does it compare to the compensation of whom you determine to be their competition?
Segment info:
Segment info is required by the US publicly traded companies, and there are specific rules that dictate when they have to do it, but basically, segment info would be Tesla and General Motors breaking down revenues or profit or whatever by lines of business.
Tesla and General Motors will surely produce a consolidated statement of operations and income statement, but consolidated means all that stuffs rolled into one, not broken out, not segmented out. But tesla and general motors does have to provide you this segmented information, so I want you to have that at your disposal as well. I want you to get those numbers into Excel.
I want you to use it for different types of analysis. I want you to know," Okay, for my companies," what are their different lines of business?" How much revenue comes from each line?" What percent of revenue does that represent?"" Is it sizable, is it small?" Is it, whatever?" So, there's segmented info by lines of business.
There's also segmented info by geographic region. So that pulls the international side in. How much of my revenue comes from Europe? How much of my revenue is US-based? That's important because when we start doing the analysis, we need to know the economies of the regions that these companies are operating in and what impact we think that could have on the financial statements.
Evaluating Executive Compensation:
I want you to talk to us about executive compensation. I want you to tell us what was the total compensation for the CEOs of your two companies over the last year?
So, I want to see who's being paid what so that we can look at the company's performance compared to who's being paid what. And then, how does it compare to the compensation of whom you determine to be their competition? So, take your two companies, get whoever you consider being their competition, find out the stuff on their CEOs, and how does it compare? Are they basically in line with their competition? Are they way out of line?
