Tesla Company wants to increase shareholders’ value, and the growth of different financial statements of the company is quite visible. Every company prepares and maintains various financial statements. The main intention of the company for its effective financial management is to take effective decisions, based on these financial statements, and to increase the shareholders and stocks value, as it is very significant for the future of any company.
Total liabilities of Tesla, incurred in the balance sheets are $17,911,165, and total assets are $22,664,076. The additional factors in the balance sheet of Tesla company are accounts payable, accruals and notes payable. The net income of the company is $674,914 in its income statement. Concerning the relation with the chapter, Tesla Company also intends to prepare fair financial statements such balance sheets and income statements to disclose its business activities. Based on the net income and flow of the money in the company, the Tesla Company pays the interests and dividends to the shareholders. Captivatingly, the operations are financed with stocks or debts.
The chapter also demonstrates the government regulations regarding tax and other regulations for the organization. Thus, to contain and justify fairness and balance, it seems imperative for the company to follow this regulation, i.e., paying taxes. As far as the financial projections of the company are concerned, after calculating the net income, the company calculates the earnings per share. By deriving the insights from the chapter, all financial statements of the company are triggered with the financial statements. The company can control the operational cost and expenditure to have strong financial statements, which can enrich the visibility of growth and sustainability for both, short and long run (Nasdaq).
Work Cited
Nasdaq. TSLA Company Financials. 13 October 2020. http://www.nasdaq.com/symbol/tsla/financials?query=balance-sheet.
+447462439809