ACC345_Discussion _Document_Post 11

The best aspect of the class is being able to create a valuation of a company. Understanding if

a company has the value to maintain their market price is essential for smart investing. The

best part of the course in connection with my career is the detailed review of balance sheets

and P&L’s. I work with these documents often and understanding them in greater detail will

allow me to make accurate remarks and critiques on different departments.

The future creation of robotics has created potential for Disney to automate a larger portion of

their parks, stores and even entertainment (Barnes, 2021). With automation, the decrease in

wages will follow resulting in greater profits for the company. The future of these

technologies allows for Disney to diversify and use their own knowledge in this area to

know what valuation they ended up coming to.

Upcoming trends in the industry could be very interesting for Nike. Nike relies mostly on the

US market and they have about 43% of the market share currently. With the COVID

pandemic, supply chain issues and increased trade tensions overseas their products could

become harder to come by or a lot more expensive. This could lead to some brands being able

to take some market share from Nike.

However, I did learn quite a lot of information from this course. Part of my job is reviewing

financials prepared by my co-workers. From an industry standpoint, I know what I am

looking for, but this class dove deeper into the ‘why’. I feel that as I analyse balance sheets

and P&L’s, I have a better understanding of what each report contains. The next step in my

career is to help with company (client) valuations. Working for a CPA firm that handles

franchise owner/operators, valuations are done for numerous reasons. The main reason is for

sale or purchase of new stores. Typically, we value the stores based on ‘times cash flow’.

For instance, a client might pay 5 times cash flow for a store purchase or a group of stores.

For my project, I chose to value JetBlue. d Big Data and Analytics is an emerging technology

keeps consumers informed about any safety concerns and flight issues or delays.

Some takeaways for me include having a better understanding of how to analyse financial

statements and look at past statements/numbers in order to gain an idea of where a company

is headed. d I learned how we need to make adjustments for uncommon factors - the pandemic

affected everyone and it was important to understand how numbers for the past few years

aren't necessarily indicative of future potential. In my current role, this class reinforced how

to examine and interpret financial statements. d I certainly appreciate any help in strengthening

my understanding of balance sheets and income statements.

For my project, I chose Amazon. They're currently the largest e-commerce retailer, but

competition is increasing. d Some trends to look for this year and beyond include conventional

bank loans being replaced with revenue-based financing, e-commerce businesses are going

global to overcome growth bottlenecks, and competition in the industry is heating up. d By the

end of this year e-commerce will account for just over 20% of global retail sales, up from

10% five years ago. (Hung, 2022). Amazon will need to keep up with the increase in

membership, but they also continue to add more perks to that membership. While Wal-Mart

provides two-day shipping on many of their items, Amazon includes music streaming, film

visibility into transactional data and unlock value, help manage risk, improve efficiency and

provide critical business insight” (ITR, 2022, June 12). As talked about before RPA can work

faster, more accurately, and can be less expensive than human beings. RPAs are already in

use and most people don’t even know they are using them. Efiling, Receipt Bot or Receipt

Bank (auto inputs invoices and receipts), QuickBooks Online, and even sites and programs

such TurboTax that help to accelerate indirect tax compliance, tax provision, and sales and

use compliance. AI offers improved decision-making through the vast knowledge of tax

codes, case law, and guidelines.

These technologies will most definitely affect the job market. However, with the population

ever increasing as well as businesses it will only lower the demand for tax professionals,

meaning there will always be a demand, just not as large of one as there was years ago.

% annually. Microsoft has managed to increase net income by 38.7% from 12 months ago,

which is higher than the 28.1 % growth the company had on an annual basis in the last 5

years. Analysts are also optimistic on the future of earnings, and estimate a growth of 12%

Regarding big data and the accounting industry, I found an article in Forbes about how the

digital transformation is impacting and will continue to impact accountants. In the past many

worried the digital innovations would soon replace accountants altogether and it was a dying

field, and now we are seeing just the opposite. Digital advancements are taking care of the

grunt work and allowing accountants more room to think creatively, be more strategic and be

more relevant than ever before. Instead of replacing accountants, it has become a more

collaborative effort. (Higgins, 2021)

Congratulations on completing another term, and good luck with your future endeavors.

The most important aspect of this class that I can use in my career is most likely the

analyzation of financial statements and how to build a valuation model around it. Being able

to interpret and analyze financial statements is the most important aspect of the business field.

According to the article linked below, a new generation of accountants have increased the

size of the accounting field from its historical levels. There is a renewed interest in the field of

accounting because of the emergence of environmental and social governance pushes within

the field. Schools are beginning to expand their course offerings for the accounting field

which is sparking interest among this generation. The accounting field could see wide

expansion and increased competition in the coming years because of the influx of newly

Knowing how to look at a company and see their health is something the is important now

and will continue to be in the future as I move forward in my career. Taking a look at the

and I believe that it will be for the better.

di Sibio, C. (2021, December 20). The Future of Accounting: How a New Generation Can

Tackle the World’s Biggest Challenges. BloombergTax. https://news.bloombergtax.com/tax-

insights-and-commentary/the-future-of-accounting-how-a-new-generation-can-tackle-the-

worlds-biggest-challenges

Link: https://www.sage.com/en-us/blog/three-emerging-technologies-accounting-and-

https://www.forbes.com/sites/forbestechcouncil/2021/05/19/the-future-of-accounting-how-

will-digital-transformation-impact-accountants/?sh=2b57467953fb

Intuit. Retrieved August 16, 2022, from https://proconnect.intuit.com/taxprocenter/practice-

management/tech-trends-for-tax-firms-in-2020-do-you-have-a-bot/

Dobell, J. (2022, June 12). The Future of Tax Technology is now. Retrieved August 16, 2022,

from https://www.internationaltaxreview.com/article/2a68ya0zsexj3hbzyzh8g/the-future-of-

tax-technology-is-

now#:~:text=Technology%20is%20changing%20taxation%20processes&text=New%20

technologies%2C%20such%20as%20blockchain,and%20provide%20critical%20business%2

0insight.

Hung, P. (2022, March 14). d E-commerce trends 2022: what the future holds. Forbes.com.

https://www.forbes.com/sites/forbestechcouncil/2022/03/14/e-commerce-trends-2022-what-