650 Index
Asset(s):
current, 17–18
turnover, 30, 31
valuation approach, 594
AT&T/NCR merger attempt, 567–568, 588
Audit, 12–13
Audit committee, 523–529
Baker Hughes, 75–94
Balance sheet, 4, 6, 7, 8, 10, 15, 17, 25, 599– 601,
613
Baldwin Technologies, 358, 361
Banking/finance, information technology in,
545–546
Bankruptcy predictor (ZETA), 32
Barad, Jill E., 519
Bard (C.R.) Inc., 64, 66, 67
Baxter International Inc., 373, 374
B.B. Lean Inc., 584, 585
Becton, Dickenson & Company, 388
Becton Coulter Inc., 363, 387, 388, 393
Beta, 613
Biogen, 61
Black & Decker, 404
Blyth Industries Inc., 373
Board of directors, 241–243, 281, 510–535
audit committee, 523–529
chief executive officer (CEO) and, 512–514,
518–519
compensation committee, 520–523
corporation business form and, 241–243
dealing with major crises, 518–520
finance committee, 529–532
meetings, 514–516, 517–518
member responsibilities, 512
reasons for having, 510–511
strategy, 516 –518
Books “R” Us, 117, 118, 127
Break-even calculations, 107
Brooke Group Inc., 121–122
Brooktrout Technologies, 43
Brown & Williamson Tobacco Cor poration,
121–122
Budget(s)/budgeting, 173–198
accounts receivable/payable, 187, 188
accrued expenses, 189
activity indices, 206
actual vs. static vs. f lexible, 193–195,
203–204, 205
administrative expense, 186
behavioral issues in, 181–182
capital expenditures, 188, 291–313
cash, 184–185, 189–190
comprehensive process (diagram), 179
control, 174, 178–181, 201–208, 219–220
cost of goods sold, 183–186
defining standards, 202
financial, 187–189
fixed cost, 215–217
forecasting and, 191–193
goal orientation, 176, 177
improper use of, 181
income statement, 186 –187
labor indices, 211
legal /contractual requirements, 176
market effects, 207
master, 182–183
material indices, 210–211
overhead indices, 211–212
performance evaluation and, 176
periodic planning and, 175
price indices, 206
profit plan, 195
quantification, 175
realistic planning, 178
reasons for, 174–177
review process, 195–197
sales, 183
standards and, 202–203
statement of cash f lows, budgeted (indirect
method), 190–191
variable cost, 208–213
variance analysis/reports, 179, 180,
212–213
Buffett, Warren, 575
Buildup technique, 286, 287–288
Burn rate, 285
Business form/entity, 225–259. See also
Corporation; Limited liability company
(LLC); Limited partnership; Partnership;
Sole proprietorship
case illustrations, 225–226, 255–259
choice of, 255–259
comparison factors (five basic forms), 228,
231–244
Business plan, 260–290
getting started on, 262–263
length, 261–262
outline, 264
resources/ Web sites, 289, 290
sections:
appendices, 288–289
company/product description, 271–273
competition analysis, 269–270, 271
cover, 265, 266
critical risks, 284–285
customer analysis, 269
development plan, 279–281
executive summary, 267–268
financial plan, 286 –288
industry analysis, 268–269
marketing plan, 273–277
offering, 286
operations plan, 278–279
table of contents, 265–267
team, 281–283