Analysis Of The Walt Disney Company

In this essay, the author

• Explains that the walt disney company is the largest entertainment company in the world in terms of revenue.
• Explains how the company's balance sheet was reviewed, including current assets and liabilities, liquidity ratios, capital structure, fixed and intangible asset accounting, and off-balance sheet items such as leases and contingent liabilities.
• Explains that the walt disney company's liquidity ratios look like this: the current ratio declined from 2011 to 2012, but then improved from 2012 to 2013.

• Explains that the walt disney company is the largest entertainment company in the world in terms of revenue.
• Explains how the company's balance sheet was reviewed, including current assets and liabilities, liquidity ratios, capital structure, fixed and intangible asset accounting, and off-balance sheet items such as leases and contingent liabilities.
• Explains that the walt disney company's liquidity ratios look like this: the current ratio declined from 2011 to 2012, but then improved from 2012 to 2013.
• Explains that the current ratio shows that as of september 28, 2013, the current assets were higher than any of the previous five years.
• Analyzes how the quick ratio shows that the company's cash and cash equivalents are the highest they have been in the previous five years reported, as are its receivables.
• Analyzes how the cash ratio shows that the company's cash and cash equivalents are the highest they have been in the previous five years reported.
• Explains that disney's capital structure shows their long-term debt and short term debt. it shows how the company uses different sources of funds in order to finance its overall operations and growth.
• Explains that disney tests goodwill and other indefinite-lived intangible assets for impairment on an annual basis and if current events or circumstances require, on interim basis.
• Explains that under the consolidated financial statements, the walt disney company has several contractual obligations. the company is contractually committed to acquire broadcast programming and make certain minimum lease payments for the use of property under operating lease agreements.
• Explains that disney has entered into operating leases for various real estate and equipment needs, including retail outlets and distribution centers for consumer products, broadcast equipment, and office space for general and administrative purposes.
• Explains that contractual commitments for broadcast programming rights, future minimum lease payments under non-cancelable operating leases and creative talent totaled $59.2 billion at september 28, 2013.
• Explains that the following table, under the consolidated financial statements, shows disney's significant contractual obligations and commitments as of september 28, 2013 and the future periods where they are expected to be settled in cash.
• Explains that walt disney company has contractual commitments for creative talent and employment agreements and unrecognized tax benefits, including obligations to actors, producers, sports, television and radio personalities and executives.
• Explains that disney has contractual arrangements that would require the company to make payments or provide funding if certain circumstances occur, but they do not feel that this will result in any significant amounts being paid.
• Explains that the walt disney company has assets under non-cancelable capital leases, primarily for land and broadcast equipment.
• Explains that disney has guaranteed bond issuances by the anaheim public authority that were used to finance infrastructure and a public parking facility adjacent to the disneyland resort.
• Explains that beef products was suing american broadcasting companies, inc (abc) for defamation that came from false statements and implications, statutory and common law product disparagement, and tortious interference with existing and prospective business relationships.
• Explains that disney has assets that are required to be recorded at fair value on a non-recurring basis when the estimated future cash flows provide indicators that the asset may be impaired.
• Explains that disney did have a write-off of an intellectual property asset in 2012.
• Concludes that disney appears to be a very strong company financially. they do not have any major red flags. their liquidity ratios and other information does not seem alarming in any way.