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Stock or Cash?: The Trade-Offs for Buyers and Sellers in Mergers and Acquisitions
Accounting Magazine ArticleCompanies are increasingly paying for acquisitions with stock rather than cash. But both they and the companies they acquire need to understand just how big a difference that decision can make to the value shareholders will get from a deal. -
How to Make Fossil Fuel Divestment Really Matter
Organizational Development Digital ArticleIt's not enough to stop investing in fossil fuels. -
New Framework for Corporate Debt Policy
Accounting Magazine ArticleFew, if any, articles on finance that have appeared in HBR have enjoyed the influence of the 1962 article reprinted here as a “Classic.” Gordon Donaldson’s analysis of how many companies haphazardly established their debt capacity, and his careful explanation of what he considered a better way, seemed to strike a chord among corporate administrative […] -
Advantages of Fund Accounting in ‘Nonprofits’
Accounting Magazine ArticleThe financial worries of New York City in the early 1970s began registering in the bond market in October 1974, when the city first encountered difficulty selling its securities. These problems reached a crisis stage in 1976, and it was not until then that the bond rating services reduced the city’s bond rating. In this […] -
Reduce the Risk of Failed Financial Judgments
Strategy & Execution Magazine ArticleWhen crucial financial estimates rely on judgment, companies can minimize their risk by turning to appraisers, actuaries, and evaluators, whether internal,... -
Cisco’s Virtual Close
Accounting Magazine ArticleCisco’s CFO explains how the company has made real-time accounting a reality. -
Earnings Game: Everyone Plays, Nobody Wins
Finance & Accounting Magazine ArticleQuarterly earnings numbers dominate the decisions of executives, analysts, investors, and auditors. Yet for all the attention paid to these numbers, they're... -
Cutting the Cost of HIV
Finance and investing Magazine ArticleCompanies doing business in the developing world have to contend with the staggering human and financial costs of HIV infection—and most would agree that conventional approaches to controlling the epidemic aren’t working. In our experience in the labor-intensive mining industries of Russia, South Africa, and Botswana, we’ve seen infection rates among workers exceeding 90% in […] -
The Problem with Accounting for Employees as Costs Instead of Assets
Labor Digital ArticleIf we could better track the value of human capital, employees would be better off. -
How to Survive a Bubble
Finance & Accounting Digital Article(Editor's note: This post forms part of the HBR Debate, "Finance: The Way Forward.") Asset price bubbles are obvious in hindsight. US housing prices in... -
What SpaceX Can Teach Us About Cost Innovation
Innovation Digital ArticleSaving money can be a creative act. -
So You Think You Understand Revenues
Costing Magazine ArticleRevenue is one of the most misunderstood, mismanaged, and neglected measures in business. Consequently, many executives still rely on gut feel, rather than on hard data, to make revenue decisions—often destroying value in the process. We’ve seen this happen in the dozens of companies we’ve studied. Consider the short shrift revenue gets on accounting reports, […] -
Balanced Scorecard: Measures That Drive Performance (HBR OnPoint Enhanced Edition)
Finance & Accounting Magazine ArticleDuring a year-long research project, the authors developed a "balanced scorecard" performance measurement system that allows executives to view a company... -
A Case for Historical Costs
Costing Magazine ArticleDo we really need to switch to replacement-cost accounting to understand how companies have performed? -
The Failed Revolution in Health Care—The Role of Management
Finance and investing Magazine ArticleThe American health care industry is sick. Its huge fraction of our GNP—one out of every eight dollars—is double that of Japan and at least 50% higher than that of other developed countries. Because it is growing at rates 50% higher than the GNP, the industry’s cost hampers control of our disastrous trade deficit. Even […] -
Strategic Analysis for More Profitable Acquisitions
Financial analysis Magazine ArticleLess than a decade after the frantic merger activity of the late 1960s, we are again in the midst of a major wave of corporate acquisitions. In contrast to the 1960s, when acquirers were mainly freewheeling conglomerates, the merger movement in the 1970s includes such long-established giants of U.S. industry as General Electric, Gulf Oil, […] -
What Managers Get Wrong About Capital
Finance & Accounting Magazine ArticleWhy do large corporations sell off business units to PE firms that make a fortune by selling them a few years later? The author, a former Rotman School... -
The Right Way to Manage Your Pension Fund
Accounting Magazine ArticleThe way we deal with risk depends on how we define it. This is often a more complicated task than appears. Risk is such a many-headed monster that selecting the right head to strike at can be a big challenge. Corporate executives have traditionally defined pension fund risk in terms of the trade-off between risk […] -
The Coronavirus Crisis Doesn't Have to Lead to Layoffs
Finance & Accounting Digital ArticleLeaders can approach this challenging time with flexibility, transparency, and compassion. -
What to Ask Your Company's Auditors
Finance & Accounting Digital ArticleDespite Sarbanes Oxley, corporate executives still seem awfully good at keeping their boards in the dark. I find it hard to blame board members, though....
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Huntington Hospital (B): Empowering Staff
Leadership & Managing People Case Study5.00View Details The B case begins with the consultants' proposal to Kim Markey, executive director of revenue cycle at Huntington Hospital (HH). The proposal is untraditional... -
Cosmeticos de Espana, S.A. (C)
Finance & Accounting Case Study5.00View Details The third case in the Cosmeticos de Espana case series. What should management's accounting response be to a further devaluation of the Bolivar? -
Jimmy Fu and Moog, Inc.: Understanding Shareholder's Equity
Finance & Accounting Case Study8.95View Details Jimmy Fu is interviewing for a job at Moog, Inc., a worldwide designer, manufacturer, and integrator of precision motion and fluid controls and systems.... -
National Economic Accounting
Global Business Case Study8.95View Details -
Merger of NOVA Corporation and TransCanada Pipelines Ltd.
Finance & Accounting Case Study11.95View Details Several large Canadian public companies announced their intent to merge and use the "pooling of interests" method rather than the traditional "purchase... -
Tesla's Non-GAAP Accounting Measurements: Revenue Recognition and Stock-Based Compensation
Finance & Accounting Case Study11.95View Details In November 2014, questions were raised about American electric car manufacturer Tesla Motors Inc.'s (Tesla's) accounting practices, which did not follow... -
Drugstore.com
Technology & Operations Case Study11.95View Details On a clear day in August 1999 in the new headquarters of drugstore.com, against a backdrop of the Blue Angels flying in formation over Lake Washington... -
Futbol Club Barcelona: "Tiki-Taka" Gone Bust?
Finance & Accounting Case Study11.95View Details Alexandre (Sandro) Rosell, the new president of Futbol Club Barcelona (FCB), took office on July 1, 2010, one day after the previous board and its president,... -
General Hardware, Inc.
Finance & Accounting Case Study8.95View Details The owners of a chain of hardware stores are preparing the most recent quarter financial statements. A number of business details are provided, including... -
Bear to Bull: An Analyst's Journey with Netflix
Management Case Study11.95View Details Wedbush Securities analyst Michael Pachter said "hell freezing over" was more likely than him upgrading the "sell" rating he had maintained on movie and... -
First Mates Wholesale Boating Supply Company: Do or Don't?
Finance & Accounting Case Study11.95View Details This case presents a series of decision points along with a simple process for ascertaining underlying source(s) of disagreement, which represents an... -
Williams--2002
Finance & Accounting Case Study11.95View Details Williams, a Tulsa, Oklahoma-based firm in various energy businesses, must decide whether to accept a financing package offered by Berkshire Hathaway and... -
Wilford Brimley and Direct Response Advertising at PolyMedica Corporation
Finance & Accounting Case Study11.95View Details James Amphlett, a financial analyst at Xenon Capital LLC, was asked to evaluate PolyMedica Corporation, whose shares Xenon was considering adding to its... -
Ford vs. GM: The Evolution of Mass Production (B)
Technology & Operations Case Study5.00View Details This case explores the very different paths taken by the Ford Motor Company and the General Motors Corporation in the first three decades of the twentieth... -
Plastiq
Innovation & Entrepreneurship Case Study11.95View Details The young CEO of a venture-backed startup needs to figure out his go to market strategy and the right profile for his first key sales hires. Should he... -
Note on Earnings Per Share
Finance & Accounting Case Study8.95View Details This note will familiarize users of financial statements with how Earnings Per Share (EPS) is calculated, what accounting rules apply, and how the new... -
Batson International, S.A. (A)
Finance & Accounting Case Study11.95View Details Management seeking to make up a shortfall in interim period earnings is seeking an accounting solution to close the gap. -
Enman Oil, Inc. (D)
Finance & Accounting Case Study5.00View Details Company pursues ways to reduce its debt to equity ratio by resorting to off balance sheet debt transactions. -
Keane's Acquisition of Metro Information Services (A)
Finance & Accounting Case Study11.95View Details On August 21, 2001, Keane, Inc. announced the acquisition of Metro Information Services, Inc. This case analyzes the challenges facing firms and examines... -
Advanced Medical Technology Corp.
Finance & Accounting Case Study11.95View Details A loan officer must decide whether to lend $8 million to a rapidly growing high technology company. The company has had a series of relationships with...
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Examining Financial Statements
Finance & Accounting Digital ArticleFinancial information can be difficult to interpret, but for those who are responsible for an organization's activities, it can also be very beneficial.... -
Huntington Hospital (B): Empowering Staff
Leadership & Managing People Case Study5.00View Details The B case begins with the consultants' proposal to Kim Markey, executive director of revenue cycle at Huntington Hospital (HH). The proposal is untraditional... -
Cosmeticos de Espana, S.A. (C)
Finance & Accounting Case Study5.00View Details The third case in the Cosmeticos de Espana case series. What should management's accounting response be to a further devaluation of the Bolivar? -
Jimmy Fu and Moog, Inc.: Understanding Shareholder's Equity
Finance & Accounting Case Study8.95View Details Jimmy Fu is interviewing for a job at Moog, Inc., a worldwide designer, manufacturer, and integrator of precision motion and fluid controls and systems.... -
National Economic Accounting
Global Business Case Study8.95View Details -
Merger of NOVA Corporation and TransCanada Pipelines Ltd.
Finance & Accounting Case Study11.95View Details Several large Canadian public companies announced their intent to merge and use the "pooling of interests" method rather than the traditional "purchase... -
Tesla's Non-GAAP Accounting Measurements: Revenue Recognition and Stock-Based Compensation
Finance & Accounting Case Study11.95View Details In November 2014, questions were raised about American electric car manufacturer Tesla Motors Inc.'s (Tesla's) accounting practices, which did not follow... -
Drugstore.com
Technology & Operations Case Study11.95View Details On a clear day in August 1999 in the new headquarters of drugstore.com, against a backdrop of the Blue Angels flying in formation over Lake Washington... -
Stock or Cash?: The Trade-Offs for Buyers and Sellers in Mergers and Acquisitions
Accounting Magazine ArticleCompanies are increasingly paying for acquisitions with stock rather than cash. But both they and the companies they acquire need to understand just how big a difference that decision can make to the value shareholders will get from a deal. -
Futbol Club Barcelona: "Tiki-Taka" Gone Bust?
Finance & Accounting Case Study11.95View Details Alexandre (Sandro) Rosell, the new president of Futbol Club Barcelona (FCB), took office on July 1, 2010, one day after the previous board and its president,...