FIN 3100.002; Professional Development Bloomberg Reflection Assignment Fall 2015 Due: by sign-up sheet In order to explore how the topics we discuss in class effect today’s business world we will be using articles from Bloomberg Business Weekly in our discussions of the textbook chapters. Your assignment is to choose an article from Bloomberg Businessweek that reflects the topic of the week you have chosen and discuss the effect of said topic as it is portrayed in the article. You may also choose to include personal reflections that apply to the topic and the article if you so wish. Submit in class on the day for which you have signed-up a Word Document with the following information; 1. The Bloomberg article you chose to explore. a. Be sure to include all necessary information in correct APA bibliographic form. 2. A 1 page reflection as to of why you chose the specific article and an explanation of how the textbook unit topic was used/addressed. Be prepared to informally discuss the content of your chosen article as well as your exploration in reference to that week’s topic. This activity will count as an individual grade and the discussion will count toward your participation grade. Both are due in class on the day the reading of your unit is due. If the schedule should change, ample notification will be provided. Part IIW4 A2: Part II Final Project: Week Four   One of the issues that had not appeared in the financial statements is subsequent events that have happened since the financial statements were made. These are of importance since they may have a future bearing on the financial performance of the company in the future and the investors cannot obtain such information from the financial statements (AICPA, 2013). The other crucial information that is not contained in the financial statements is information on intangible assets since copyrights may be of high value to the company in its future operations hence investors may assess the future value of the company based on the financial information. Other users of financial statements such as managers will require the information to make managerial decisions while the government requires the information to make decisions on regulations (Carmichael, Whittington, & Grah, 2007). In terms of profit, Norwegian Air Shuttle recorded a loss of $905,806.00 while Cimber Sterling Airline had a loss of $212,670.00. These figures indicate that both companies made losses but Norwegian Air had the biggest loss implying that the company had a worse performance in comparison to its peer. As far as debts are concerned, Cimber Sterling increased its debt from $927,406 in 2009 to $994,972 in 2010. This increase in debts meant that the company became less stable in 2010. A comparison to Norwegian Air which increased its debts from $1,205,964 to $1,620,720 between 2009 and 2010 indicates that both companies increased their debts ove ...

1. FIN 3100.002; Professional Development
Bloomberg Reflection Assignment
Fall 2015
Due: by sign-up sheet
In order to explore how the topics we discuss in class effect
today’s business world we will be
using articles from Bloomberg Business Weekly in our
discussions of the textbook chapters.
Your assignment is to choose an article from Bloomberg
Businessweek that reflects the topic of
the week you have chosen and discuss the effect of said topic as
it is portrayed in the article.
You may also choose to include personal reflections that apply
to the topic and the article if you
so wish.

2. Submit in class on the day for which you have signed-up a Word
Document with the following
information;
1. The Bloomberg article you chose to explore.
a. Be sure to include all necessary information in correct APA
bibliographic form.
2. A 1 page reflection as to of why you chose the specific
article and an explanation of how
the textbook unit topic was used/addressed.
Be prepared to informally discuss the content of your chosen
article as well as your exploration
in reference to that week’s topic.
This activity will count as an individual grade and the
discussion will count toward your
participation grade. Both are due in class on the day the
reading of your unit is due. If the
schedule should change, ample notification will be provided.

3. Part IIW4 A2: Part II
Final Project: Week Four
One of the issues that had not appeared in the financial
statements is subsequent events that have happened since the
financial statements were made. These are of importance since
they may have a future bearing on the financial performance of
the company in the future and the investors cannot obtain such
information from the financial statements (AICPA, 2013). The
other crucial information that is not contained in the financial
statements is information on intangible assets since copyrights
may be of high value to the company in its future operations
hence investors may assess the future value of the company
based on the financial information. Other users of financial
statements such as managers will require the information to
make managerial decisions while the government requires the
information to make decisions on regulations (Carmichael,
Whittington, & Grah, 2007).
In terms of profit, Norwegian Air Shuttle recorded a loss of
$905,806.00 while Cimber Sterling Airline had a loss of
$212,670.00. These figures indicate that both companies made
losses but Norwegian Air had the biggest loss implying that the
company had a worse performance in comparison to its peer. As
far as debts are concerned, Cimber Sterling increased its debt
from $927,406 in 2009 to $994,972 in 2010. This increase in
debts meant that the company became less stable in 2010. A

4. comparison to Norwegian Air which increased its debts from
$1,205,964 to $1,620,720 between 2009 and 2010 indicates that
both companies increased their debts over the period but
Norwegian Air had a higher increase of $ 414,756.
Profitability as determined by the return on assets was (0.22)
for Cimber Sterling and (1.12) for Norwegian Air. These ratios
were negative for both companies since each recorded losses.
However, Norwegian Air had the lower return on assets
implying that its efficiency of utilizing assets to generate
profits was lower than that of its peer though both companies
made losses (US GAAP, 2014). Some of the strategies will
include reduction of expenses and cutting unnecessary costs in
order to turn around its losses into profits.
The total debt/ total assets ratio for Cimber Sterling Airline was
0.8321 in 2009 and 1.0271 in 2010. This ratio indicates that not
only did the total debt increase over the two years but it
increased with a higher amount than that for the assets. The
ratio is an indicator that Cimber Sterling borrowed funds to
finance its operations and not assets hence it is an indicator of a
poor performance in the period. Cimber Sterling should limit its
borrowing and use other options such as equity financing
disposal of some assets from where it may generate cash for
operations (Carmichael, Whittington, & Grah, 2007).
On the other hand, Norwegian air had an increase in its total
debt/ total assets ratio from 1.65 to 1.999 hence it had a higher
proportion of debts in both years in comparison to its peer and
it increased the proportion in the period under analysis
(Carmichael, Whittington, & Grah, 2007). The leverage and
hence the financial risk for Norwegian Air is higher than that of
Cimber Sterling. This financial risk will increase the cost of
borrowing in the future hence Norwegian Air should reduce
borrowing and adopt financial stringent measures to reduce
unnecessary borrowing for financing recurrent expenditure.
In 2010, the asset turnover for Cimber Sterling was 2.00 while
that for Norwegian Air 21.23 indicating that Norwegian air had
a higher efficiency in utilizing its assets to generate revenue.

5. For each dollar it had invested in assets, Norwegian Air
generated $ 21.23 in revenue whereas Cimber Sterling could
only generate $ 2.00. Norwegian Air should keep up with
similar efforts while Cimber Sterling should dedicate a larger
portfolio of its assets to production from where revenues will be
generated. Streamlining of assets will be necessary in the next
financial year.
References
AICPA. (2013). Financial Ratios. Illustrative Financial
Statements, 54-59. Retrieved from
http://www.aicpa.org/InterestAreas/FRC/AccountingFinanc
ialReporting/PCFR/DownloadableDocuments/FRF-
SME/FRFforSMEs_Illustrative_Financial_Statements.pdf
Carmichael, D. R., Whittington, O. R., & Grah, L. (2007).
Accountants' Handbook, Volume 1: Financial Accounting and
General Topics. Hoboken: NJ: John Wiley & Sons.
Retrieved from
http://ir.nmu.org.ua/bitstream/handle/123456789/145890/f3212e
fc7c7cf426890e75ea2fb 44fbc.pdf?sequence=1
US GAAP. (2014). 100 US GAAP Financial Ratios. Balance
Sheet Ratios, 8-13. Retrieved from
https://staticwww.asml.com/doclib/investor/financial_resul
ts/2014/asml_20150121_USGAAP_Q4_2014.pdf
Running head: FINAL PROJECT: WEEK FOUR
1
PAGE
5
FINAL PROJECT: WEEK FOUR
Final Project: Week Four

6. Pauline Hurt
South University Online
Final Project: Week Four
One of the issues that had not appeared in the financial
statements is subsequent events that have happened since the
financial statements were made. These are of importance since
they may have a future bearing on the financial performance of
the company in the future and the investors cannot obtain such
information from the financial statements (AICPA, 2013). The
other crucial information that is not contained in the financial
statements is information on intangible assets since copyrights
may be of high value to the company in its future operations
hence investors may assess the future value of the company
based on the financial information. Other users of financial
statements such as managers will require the information to
make managerial decisions while the government requires the
information to make decisions on regulations (Carmichael,
Whittington, & Grah, 2007).
In terms of profit, Norwegian Air Shuttle recorded a loss of
$905,806.00 while Cimber Sterling Airline had a loss of
$212,670.00. These figures indicate that both companies made
losses but Norwegian Air had the biggest loss implying that the
company had a worse performance in comparison to its peer. As
far as debts are concerned, Cimber Sterling increased its debt
from $927,406 in 2009 to $994,972 in 2010. This increase in
debts meant that the company became less stable in 2010. A
comparison to Norwegian Air which increased its debts from
$1,205,964 to $1,620,720 between 2009 and 2010 indicates that
both companies increased their debts over the period but
Norwegian Air had a higher increase of $ 414,756.
Profitability as determined by the return on assets was (0.22)
for Cimber Sterling and (1.12) for Norwegian Air. These ratios

7. were negative for both companies since each recorded losses.
However, Norwegian Air had the lower return on assets
implying that its efficiency of utilizing assets to generate
profits was lower than that of its peer though both companies
made losses (US GAAP, 2014). Some of the strategies will
include reduction of expenses and cutting unnecessary costs in
order to turn around its losses into profits.
The total debt/ total assets ratio for Cimber Sterling Airline was
0.8321 in 2009 and 1.0271 in 2010. This ratio indicates that not
only did the total debt increase over the two years but it
increased with a higher amount than that for the assets. The
ratio is an indicator that Cimber Sterling borrowed funds to
finance its operations and not assets hence it is an indicator of a
poor performance in the period. Cimber Sterling should limit its
borrowing and use other options such as equity financing
disposal of some assets from where it may generate cash for
operations (Carmichael, Whittington, & Grah, 2007).
On the other hand, Norwegian air had an increase in its total
debt/ total assets ratio from 1.65 to 1.999 hence it had a higher
proportion of debts in both years in comparison to its peer and
it increased the proportion in the period under analysis
(Carmichael, Whittington, & Grah, 2007). The leverage and
hence the financial risk for Norwegian Air is higher than that of
Cimber Sterling. This financial risk will increase the cost of
borrowing in the future hence Norwegian Air should reduce
borrowing and adopt financial stringent measures to reduce
unnecessary borrowing for financing recurrent expenditure.
In 2010, the asset turnover for Cimber Sterling was 2.00 while
that for Norwegian Air 21.23 indicating that Norwegian air had
a higher efficiency in utilizing its assets to generate revenue.
For each dollar it had invested in assets, Norwegian Air
generated $ 21.23 in revenue whereas Cimber Sterling could
only generate $ 2.00. Norwegian Air should keep up with

8. similar efforts while Cimber Sterling should dedicate a larger
portfolio of its assets to production from where revenues will be
generated. Streamlining of assets will be necessary in the next
financial year.
References
AICPA. (2013). Financial Ratios. Illustrative Financial
Statements, 54-59. Retrieved from
http://www.aicpa.org/InterestAreas/FRC/AccountingFinancialRe
porting/PCFR/Downloa
dableDocuments/FRF-
SME/FRFforSMEs_Illustrative_Financial_Statements.pdf
Carmichael, D. R., Whittington, O. R., & Grah, L. (2007).
Accountants' Handbook, Volume 1:
Financial Accounting and General Topics. Hoboken: NJ: John
Wiley & Sons. Retrieved
from
http://ir.nmu.org.ua/bitstream/handle/123456789/145890/f3212e
fc7c7cf426890e75ea2fb
44fbc.pdf?sequence=1
US GAAP. (2014). 100 US GAAP Financial Ratios. Balance
Sheet Ratios, 8-13. Retrieved from
https://staticwww.asml.com/doclib/investor/financial_results/20
14/asml_20150121_USG
AAP_Q4_2014.pdf
Final Project Week 3
Norwegian Air Shuttle
& Cimber Sterling

9. Background of the companies
Norwegian Air Shuttle (NAS) started in 1993 while Cimber
Sterling started in 1950
NAS has transitioned by establishing subsidiaries e.g. Polish
airline subsidiary and online banking services such as Bank
Norwegian
Cimber Sterling milestones include modification and
introduction of customer databases and brands which a
profitable in a competitive market
2
Airline markets
Norwegian Air Shuttle
Cimber Sterling
Main competition is peer companies
They are similar to NAS in scale & scope
Peer companies include Nordic Airline & Finnair
They are the largest airline companies in Denmark and Finland
respectively
It serves market segments such as;
Domestic routes for Demark business & leisure travelers
European destinations such as London & Paris
Leisure market for tourist destinations such as Mallorca

10. Airline companies financials
Financial comparisons considered due to the regions of
operation due to government rules
Currencies used is another factor
Process involves;
Approval of budgets
Monitoring financial expenditure
Approving internal & external auditors
Management of internal and external risks
Companies financials (contd…)
Norwegian Air Shuttle
Cimber Sterling
Its total assets increased by 80,001 between 2009 and 2010
Its total liabilities increased by 414,756 between the two years
Difference in assets between them decreased from 383,455 to
157,580 from 2009 to 2010
Its total assets decreased by 145,874 between 2009 and 2010
Its total liabilities increased by 67,566 between the two years
Difference in liabilities between them increased from 278,558
to 625,748 from 2009 to 2010
Investing & financing activities

11. Norwegian Air Shuttle
Cimber Sterling
Investing activities were prepayments of aircraft purchase &
purchase of tangible assets
Financing activities were new long term liabilities & payment
for long term liabilities which am
Investing activities were disposal of property, plant and
equipment & acquisition of property, plant and equipment
Financing activities were share issuing & bank debt payment
References
Cimber Sterling . (2014, October 11). Cash Flow Statement.
Retrieved from Cimber Sterling Annual Report. Retrieved
from: https://www.macroaxis.com
Miller, A., & Edwardson, P. (2013). Corporate Strategy in
Practice. Harvard Business Review, 76-83.
Norwegian Air. (2014, September 17). Cash Flow Statement.
Retrieved from Norwegian Air Shuttle ASA Accounts.
Retrieved from: http://annualreport.norwegian.com
Running head: FINAL PROJECT: WEEK THREE
1

12. PAGE
4
FINAL PROJECT: WEEK THREE
Final Project: Week Three
Pauline Hurt
South University Online
Final Project: Week Three
The largest investing activity for Norwegian Air Shuttle was
prepayments of aircraft purchase which amounted to 2,134,161
while the second largest was purchase of tangible assets which
amounted to 574,287 (Norwegian Air, 2014). Cimber Sterling
Airline Company had the largest investing activity as the
disposal of property, plant and equipment amounting to 158,380
while the second was the acquisition of property, plant and
equipment which amounted to 108,504 (Cimber Sterling , 2014).
The largest financing activity for Norwegian Air Shuttle was
new long term liabilities which amounted to 1,991,173 while the
second largest was payment for long term liabilities which
amounted to 460,692 (Norwegian Air, 2014). Cimber Sterling
had the largest financing issue being a share issue of 261,775
with the second largest being change in bank debt amounting to
68,727 (Cimber Sterling , 2014).
The similarity between the investing activities of the two firms
is that they both feature investments in tangible assets in terms
of property, plant and equipment. The firms dedicated a large
fraction of their assets towards acquisition of these assets since
the airline industry calls for use of tangible resources on a daily
basis in managing its traffic. However, there is a difference in
the investing activities of the two firms in that Cimber Sterling
disposed of some of its property, plant and equipment while
Norwegian Air only acquired tangible assets. In terms of
financing activities, there is a similarity between them in that
they both reduced their debts with Norwegian Air reducing its

13. long term liabilities while Cimber Sterling reduced its bank
debt. There is a difference in that Norwegian Air concentrated
on long term liabilities while Cimber sterling had a majority of
its financing activities funds used for issuing shares.
The strategy for Norwegian Air in its investing activities was
acquisition of long terms tangible assets indicating that the firm
wished to have a strong financial base for its long term
operations. Cimber Sterling however prioritized streamlining its
long term assets by disposing off some and acquiring others.
These strategies indicate the importance of long terms assets for
airline companies over the stability of their long term
operations hence both strategies are effective for the companies
(Miller & Edwardson, 2013). In their financing activities,
Norwegian Air concentrated on paying off its long term
liabilities indicating that the firm wanted to increase its net
worth in the future. The strategy is effective since it will
improve its ability to borrow and invest (Miller & Edwardson,
2013). On the other hand, Cimber Sterling concentrated on
equity financing by issuing shares indicating that it opted to
reduce debt financing and hence improve its financial stability
hence making it an effective strategy.
References
Cimber Sterling . (2014, October 11). Cash Flow Statement.
Retrieved from Cimber Sterling
Annual Report. Retrieved from: https://www.macroaxis.com
Miller, A., & Edwardson, P. (2013). Corporate Strategy in
Practice. Harvard Business Review,
76-83.
Norwegian Air. (2014, September 17). Cash Flow Statement.
Retrieved from Norwegian Air
Shuttle ASA Accounts. Retrieved from:
http://annualreport.norwegian.com
Sheet1W3 A2: Part IBarko IndustriesCash flow statement -

14. Indirect method1.)Cash flow from operating activitiesNet
Income56400Add: Depreciation46000Add: Loss on sale of
asset8700Less: Increase in accounts receivables-15000Add:
Decrease in inventory3000Add: Increase in accounst
payable3000Net cash flow from operating
activities102100Investing activitiesSale of
assets220000Purchase of assets-360000Cash flow from
investing activities-140000Financing ActivitiesPaid for
dividends-22460Increase / Decrease in cash-60360Beginning
balance70000Closing balance9640The firm's cash position has
seen a decrease in year 4 in comparison to year 3. One of the
reasons for this could be high investing activities. Looking at
the operating activities, the firm's cash position is good. The
cash flow statement shows a decline of cash flow by 60360 in
year 4. This was due to the purchase of fixed assets. However,
the operating activities seems to have made a positive cash flow
which could be considered a good sign for the firm. 2.)3.)The
cash statement helps the organization to analyze the actual cash
position of the company. The income statement and balance
sheet are two of the basic financial statements. They are
prepared under accrual basis of accounting regardless of the fact
when the payment is made and received. Furthermore, the cash
flow statement is prepared under a cash basis. The cash
position can only be known from the cash flow statement since
it shows the cash flow generated from operating, investing and
financing activities. Cash is the action behind the firm and
without it, the company cannot run its operation. Therefore the
cash flow statement helps the firm to know the availability of
cash needed to run day-to-day operations and for possible future
expansion.