Annual Reports Assessment and Comparison Assignment Help
Introduction A comprehensive report that plays an important role to present and communicate activities of a company during the
preceding year can be termed as annual report (Stittle, 2003). In this business accounting assignment help paper, the annual report of two companies namely Apple Computer Inc. (AAPL: NSDAQ) and Cisco Systems Inc. (CSCO: NSDAQ) that belong from Computer & Office Equipment industry will be disused in this paper (The Public Register Online, 2011).
Annual Report Presentation Difference and its Effectiveness for Shareholders The annual reports of both Cisco and Apple include wide range of information in terms of background, business strategy, products, sales overview etc. but the presentation manner is slightly differ in each company. The whole information about company is divided into four parts in the annual report of Cisco that gives a quick overview, whereas Apple’s annual report contains different parts and their relevant items as well (Apple, 2013). In addition our assignment help experts says that, Cisco annual report is majorly focused over how it gains value from technology and in contrast, report of other company is contained how it develops innovative technology (Cisco, 2013).
It also demonstrates the way that it uses to bring innovations at workplace. Annual report of both organizations includes significant sections that clearly demonstrate a full overview about resources, which it employs in achieving operational and financial performance. With this, both are also included information about the strategic output, whether it is negative or positive. Organizational image, capital structure and financial performance of a firm are used by shareholders, while making investment decisions (Apple, 2013). All above aspects are included and presented in the annual reports of both companies. At the same time, both companies also include financial performance that they achieved in last three years. This could help shareholders to determine previous performance of both companies that may use by them to analyze business potential and to take investment decisions accordingly (Cisco, 2013). The risk factors and negative performance is also included that could be helpful for shareholder to determine the future business performance accurately. Therefore, data in annual reports of both organizations are presented clearly that could help shareholders in making investment decisions.
Difference in Dissuasion Results Discussion result differences in the annual report of both companies are described in below sections: Goals: The result discussion of Cisco annual report defines its aim to make presence in global market within the key product categories. It is continuously strived to improve and increase market share by delivering growth and generating shareholder value (Cisco, 2013). On the other hand, the discussion of Apple’s annual report describes its goal to design and make better and innovative products. It also aims to open 30-35 new retail stores in 2013 to increase its presence in the give industry (Apple, 2013). Challenges: The major challenge of Apple that is communicated by its annual report is to manage retail operations outside US. The unforeseen fluctuations in the retail inventory value are responsible to increase cost and decrease the relationship effectiveness with retail channel partners. The inability to obtain and renew leases of quality location at affordable cost may develop significant challenge for Apple (Apple, 2013). The acquisition of new business and technologies may also create unfamiliar environment for Cisco that could create significant challenges. This induces unfamiliar supply chain that may create difficulties (Cisco, 2013). There is also a significant competition to obtain certain components and to obtain such components at reasonable cost may also a challenge for Cisco. Plan: By using agreements for the location owners, Apple is planned to reduce the implication of unforeseen fluctuations of retail inventory value. At the same time, it is also planned to make its presence over internet in more effective manner that could be enabled it to reduce dependency on stores (Apple, 2013). On the other hand, Cisco is also planned to execute contract manufacturing that may ensure the availability of certain components (Cisco, 2013). Through this, they could be also enabled to reorganize, cancel and change the orders on the basis of business needs.
Analysis of Annual Report Format A unique combination of easy and understandable corporate, financials, marketing and company’s strategic information forms an effective annual report (Dickenson Intellinetics, 2005). Cisco’s annual report includes a list of all included items with their related information at the beginning of report that plays an important role in presenting information clearly. The exclusion of this list in the Apple’s annual report makes it unattractive for reader as it does not clearly define informational clauses. On the other hand, annual report of Apple also includes several charts and graphs in context of operational financial performance that also clearly communicates financial information (Financial Reporting Council, 2012). It helps reader to obtain comparative insights of company’s performance easily and precisely.
In contrast, Cisco’s annual report does not include graphs and charts to provide clear and comparative presentation of financial performance. At the same time, information of both annual reports is presented in simple and understandable language that also offers a way to present data transparently. The clear and orderly presentation of information in annual reports of both companies plays an important role in understanding complex data. There is significant lack of referral links, which are curial to make the data more creditable and transparent (Dickenson Intellinetics, 2005). It may also detect the reports from the presentation of actual information. Conclusion From the above discussion by case study assignment help experts, it can be concluded that annual reports of Apple and Cisco are slightly different besides belonging from same industry. The design and format of both companies’ annual reports are effective to communicate financial performance clearly. But both should include transparency aspect, while inclusion of information in annual report. References Apple (2012).
Apple, Inc. 2012 Annual Report. Retrieved from: http://investor.apple.com/secfiling.cfm?filingID=1193125-12-444068 Apple (2012). Apple, Inc. 2012 Annual Report. Retrieved from: http://files.shareholder.com/downloads/AAPL/2388339484x0xS1193125-12-444068/320193/filing.pdf Cisco (2012). Cisco Systems, Inc. 2012 Annual Report. Retrieved from: http://www.cisco.com/assets/cdc_content_elements/docs/annualreports/ar2012.pdf Dickenson Intellinetics (2005). What makes a good annual report? Retrieved from: http://www.notension.biz/pdf/WHAT%20MAKE%20GOOD%20ANNUAL%20REPORT.pdf Financial Reporting Council (2012) Financial Reporting Review Panel Annual Report 2012. Retrieved from: http://www.frc.org.uk/getattachment/f46d075e-7d0b-439c-aaf6-d557de55f93f/Financial-Reporting-Review-Panel-Annual-Report-2012.aspx Stittle, J. (2003). Annual Reports: How to Deliver Your Corporate Message to Stakeholders. Great Britain: Gower Publishing, Ltd. The Public Register Online (2011). Computer & Office Equipment Companies. Retrieved from: http://www.annualreportservice.com/search.php?type=industry&q=357 Get 100% original and business assignment help services from our experts. We assure you that you will get complete and perfect case study assignment help services from our US,UK and Australia experts.