Precision Machine

Annotated Bibliography

Accountingtools.com. (2016). Statement of Cash Flows Overview. Retrieved Apr 2, 2016, from

http://www.accountingtools.com/overstatement's

The cash flow statement provides us with operating activities. Operating activities constitute the revenue-generating activities of a business. Examples of operating activities are cash received and disbursed for product sales, royalties, commissions, fines, lawsuits, supplier and lender invoices, and payroll. These activities involve economic and market forces that greatly impact a financial plan. The cash flow statement can be used to discern trends in business performance that are not readily apparent in the rest of the financial statements. It is especially useful when there is a divergence between the amount of profits reported and the amount of net cash flow generated by operations.

Economic Forces. (n.d.). Retrieved April 04, 2016, from

http://www.strategy-formulation.24xls.com/en105

There are a variety of factors, which affect economic forces in the business world, which then determine the financial objectives and the operational direction from various companies. Although, there are a variety of factors the economical ones have the most impact on the profitability of a business. These factors range from employment, inflation rates, interest rates and changes to the economic fiscal policy. The measured increase or decrease of a global product(s) based on interest rates, pricing and value of dollar determines the impact business operations will have as a result of the economic forces.

Helbling, T. (n.d.). Finance & Development. Retrieved April 03, 2016, from

http://www.imf.org/external/pubs/ft/fandd/basics/external.htm

The article talks about the good and bad external factors that bear upon the economy, prices, demand/product availability.  The article also discusses the variables which should be accounted for, especially if you are in charge of business operations where there are an assortment of costs associated with the private/social costs and the return those provided, which can lead to inefficiency to the market.

There are a variety of external factors that bear upon the economic outlook, which range of prices, demand/product availability.  The vast variety of external factors make it even more important to include them, especially when it comes to business operations where you want to expect the unexpected and can also lead to a number of private/social costs associated with the return those provided, which can lead to inefficiency to the market. These inefficiencies are associated to consumption and production when businesses do not take into account the external factors associated with the product, but leads to an ineffective market outcome limiting their resources

Inc.com. (2015). Cash Management. Retrieved Apr 2, 2016, from

http://www.inc.com/guides/finance/cashmanagement.html

Since the company's total sales are 30% cash sales and 70% credit sales and it receives 50% of the credit sales one month after the sale and the remaining 50% in the second month after the sale. We could recommend a cash collection system which will reduce the time it takes to collect the cash that is owed. The sources of time delays are mail float, processing float, and bank float. They all involve payment processing. An envelope mailed by a customer containing payment to a supplier firm does not arrive at its destination instantly. Likewise, the payment is not processed and deposited into a bank account the moment it is received by the supplier firm. And finally, when the payment is deposited in the bank account oftentimes the bank does not give immediate availability of the funds. We could recommend that we hire an outside third-party vendor to receive, process, and deposit the payment to speed up the collection.

Root III, G. N. (2015). Factors that affect planning in an organization. Retrieved from

http://smallbusiness.chron.com/factors-affect-planning-organization- 72.html

In order for an organization to succeed you have to have you priorities, company resources, forecasting, and contingency planning.  Most company’s first goal is to generate revenue and this closed minded thinking can run in to issues with the planning process.  When assigning priorities you need to address any and all issues that could arise and cause the company to fail.  The company resources are things it needs to expand and grow to become even more successful, starting this and not having all the resources could cause the growth to stall out and not get completed when it needs to.  Some of these resources could include materials, finances, and even relationships with the correct vendors and suppliers.  The forecasting part helps you to try to predict the sales, the cost of the product, the overhead, for upcoming projects or even expansions.

Underwood, J. D. (2013). 10 Forces that impact businesses. Retrieved from

http://www.dummies.com/how-to/content/10-forces-that-impact-businesses.html

There are different ways that businesses can be affected in both a positive and negative way. These forces can be market forces in which affect the supply, demand and prices of items. This can happen because new competitors have entered into the business, changes in where the supplies are coming from, mergers that come from competitors strengthening or changes with distributors.