MODULE 05 PROJECT - FINANCIAL STATEMENTS 1 Financial Statements Name: Rodney Wheeler Institution: Rasmussen College Course: A332/ACG3357 Section 02 Accounting for Business Managers Date: 06/18/17 The illustration of the Ford’s balance sheet is an illustration on the company’s financial health. It also indicates and expounds on the company’s financial transactions, income, cash and financial flows from its investments plans and activities. The sales of the company’s products and services as listed in the balance sheet is an essential consideration on the how the company can increase its sales based on the different financial restrictions and investments. Production is another issue that is essential and critical in managing and understanding the performance of the company from the financial and expenses issues. To use such information will help the company and its stakeholders to understand how the company’s expenditure in production affects its income and profitability. On the hand, knowing and understanding the health of a company from the assets side, will help in the acquisition of direct materials either for production and investment. It is important to use the different financial assessments to understand the value of the company’s financial position. Essentially, it is a way of focusing on the financials of the company such as cash flows and income statements to help in understanding the resources being pulled into manufacturing. More essentially is to project and estimate the next cycle of manufacturing services and operations in which the company will be involved. Expenditure on sales and how the company uses financial resources such as cash and non-cash resources is critical. For instance, Ford should focus on the role of its financial plans and accessibility of investment information for its stakeholders. This will offer confidence and trust for the investors on the performance of the company and it’s administrative. Administration faces the challenge of accountability and responsibility of its decisions and focusing on financial growth and awareness. References Johnson, P. F. (2014). Purchasing and supply management. McGraw-Hill Higher Education. Running head: PRODUCTION COST METHODS 1 PRODUCTION COST METHODS 1 Production Cost Methods Name: Rodney Wheeler Institution: Rasmussen College Course: A332/ACG3357 Section 02 Accounting for Business Managers Date: 06/11/17 Introduction Since its conception in 1903, Ford Motor Company has seen its share of highs and lows regarding market share and stock prices, but recently things have been going downhill for the company (Acharya, V., Schaefer, S., & Zhang, Y., 2015). The company’s market value is currently not doing better than Tesla’s or General Motors’s. Stock prices have dropped by over 40% since 2014. Cost production methods In a move to reduce product costs, Ford has come recently announced that they are going to cut up to 10% of the company’s workforce in North America a ...

1. MODULE 05 PROJECT - FINANCIAL STATEMENTS
1
Financial Statements
Name: Rodney Wheeler
Institution: Rasmussen College
Course: A332/ACG3357 Section 02 Accounting for Business
Managers
Date: 06/18/17
The illustration of the Ford’s balance sheet is an illustration on
the company’s financial health. It also indicates and expounds
on the company’s financial transactions, income, cash and
financial flows from its investments plans and activities. The
sales of the company’s products and services as listed in the
balance sheet is an essential consideration on the how the
company can increase its sales based on the different financial
restrictions and investments. Production is another issue that is
essential and critical in managing and understanding the
performance of the company from the financial and expenses
issues. To use such information will help the company and its
stakeholders to understand how the company’s expenditure in
production affects its income and profitability.
On the hand, knowing and understanding the health of a
company from the assets side, will help in the acquisition of
direct materials either for production and investment. It is
important to use the different financial assessments to
understand the value of the company’s financial position.
Essentially, it is a way of focusing on the financials of the
company such as cash flows and income statements to help in
understanding the resources being pulled into manufacturing.
More essentially is to project and estimate the next cycle of
manufacturing services and operations in which the company
will be involved. Expenditure on sales and how the company

2. uses financial resources such as cash and non-cash resources is
critical. For instance, Ford should focus on the role of its
financial plans and accessibility of investment information for
its stakeholders. This will offer confidence and trust for the
investors on the performance of the company and it’s
administrative. Administration faces the challenge of
accountability and responsibility of its decisions and focusing
on financial growth and awareness.
References
Johnson, P. F. (2014). Purchasing and supply management.
McGraw-Hill Higher Education.
Running head: PRODUCTION COST METHODS
1
PRODUCTION COST METHODS
1
Production Cost Methods
Name: Rodney Wheeler
Institution: Rasmussen College
Course: A332/ACG3357 Section 02 Accounting for Business
Managers
Date: 06/11/17
Introduction
Since its conception in 1903, Ford Motor Company has seen its
share of highs and lows regarding market share and stock
prices, but recently things have been going downhill for the
company (Acharya, V., Schaefer, S., & Zhang, Y., 2015). The
company’s market value is currently not doing better than
Tesla’s or General Motors’s. Stock prices have dropped by over
40% since 2014.

3. Cost production methods
In a move to reduce product costs, Ford has come recently
announced that they are going to cut up to 10% of the
company’s workforce in North America and Asia. The company
hopes that this decision will result in increased profits and
reinforce the company’s falling stock price. The company plans
to offer attractive retirement packages to salaried workers.
This move is a double-edged sword, and a tough call to make as
the company might benefit from it due to reduced production
costs from reduced wages, while at the same time rendering
several people job which might an impact on the economy. The
move might cause conflicts with the government as the
President's administration warned companies on cutting off
workers hence an unemployment situation in the United States.
President Donald Trump had also lashed out at Ford for
maintaining its behemoth assembly plant in Mexico while Ford
at the time was making plans for another plant in Mexico. The
company had to abort that plan and instead add over 700 jobs to
its Michigan assembly plant.
This came as good news for both the American people as it
means the creation of more job opportunities at home. The
current administration is working to reduce or eliminate the
move of jobs overseas.
The company also sold off its Swedish car maker company
Volvo to a Chinese car maker in a move to consolidate funds
and redirect them to redeveloping the company (Jory, S., &
Ngo, T., 2015). Although Ford sold Volvo at a loss, they are
convinced that selling Volvo was a wise move. In my opinion,
the Chinese company Geely benefited from the sale since Volvo
is a major car manufacturer in Europe.
Effects on data analysis
Having this information published on websites and media
company blogs and social media handles enables efficient data
analysis processes. Quantitative methods would benefit from the

4. availability of facts, figures, numbers, surveys, and experiments
that are in abundance. A researcher can find plenty of
information concerning reports on surveys conducted from the
company's as well as other associated websites.
On the other hand, the company is open to questionnaires,
which it regularly conducts with its employees whenever a new
change is about to be made within the organizational structure.
The company also conducts press conferences whenever it has
major announcements, and here questions can be asked to
clarify certain issues. The company's management is also
flexible to interview thus enhancing the qualitative methods
easily doable for the researcher. References
Acharya, V., Schaefer, S., & Zhang, Y. (2015). Liquidity risk
and correlation risk: A clinical study of the General Motors and
Ford Downgrade of May 2005. The Quarterly Journal of
Finance, 5(02), 1550006.
Jory, S., & Ngo, T. (2015). The wealth effects of acquiring
foreign divested assets. International Business Review, 24(2),
235-245.
Running head: FIXED AND VARIABLE COSTS
1
FIXED AND VARIABLE COSTS
3
Fixed and Variable Costs in Ford Motor Company
Name: Rodney Wheeler
Institution: Rasmussen college
Course: A332/ACG3357 Section 02 Accounting for Business
Managers
Date: 06/04/17

5. Fixed and Variable Costs Used By Ford Motor Company
Fixed Costs
Fixed costs are those costs that are connected with the product
of the enterprise. These costs must be paid irrespective of the
amount of the product that the company sells (Berry, 2016). One
of Ford Motor’s Company fixed cost is overhead. This includes
the rent of the space that the company occupies, the weekly
payroll of the workers and the depreciation on the spare parts
that Ford uses to manufacture its cars. Ford Motor Company
tries to reduce some fixed costs to increase the cash flow and
the balance sheet.
Variable Costs in Ford Motor Company
Variable costs are directly connected to the volume of sales of
the Ford's products. The variable costs of the business increase
with the increase in sales and vice versa (Berry, 2016). The
variable costs in Ford Motor Company include the cost of labor,
costs of materials used to process the products, sales
commissions, transport charges, delivery costs, wages and
salaries. An extra variable cost is the performance bonuses that
is categorized under the payroll. The company tries to minimize
the variable costs especially the cost of production to maximize
the profits.
How an Increase in Variable Costs Would Affect Some Fixed
Costs
The overall cost of the company consists of the variable and
fixed costs. Both prices change the marginal cost of production
(Ederhof, 2017). An increase in the cost of materials would
increase the fixed cost such as rent. For example, if the
company imports more materials, that means the cost of the
materials will exceed the budget. As such, Ford Motor Company
will have to expand on the business. Renting a larger space
would cost more as a result of the increase in the materials.

6. References
Berry, S., Eizenberg, A., & Waldfogel, J. (2016). Fixed Costs
and the Product Market Treatment of Preference Minorities. The
Journal of Industrial Economics, 64(3), 466-493.
Ederhof, M., Nagar, V., & Rajan, M. V. (2017). An Empirical
Analysis of Capacity Costs.
Running Head: COST METHODS
1
Costing Methods
2
Costing Methods
Name: Rodney Wheeler
Institution: Rasmussen College
Course: A332/ACG3357 Section 02 Accounting for Business
Managers
Date: 05/28/2017

7. Ford Motor
The company posted a net income of $4,596 in the year 2016.
This was a decrease in profitability in comparison to $7,373 in
2015. The reduction of the profitability in 2016 was because of
an increase in the costs and expenses that the company incurred.
The company had more revenues in 2016 yet the company’s
profitability reduced. The income statement shows that there is
an issue of expenses that the company needs to look at. The
company has increased their liquidity in 2016. There was also
an increase in its liabilities. The balance sheet shows that the
company finances the company more through debt in
comparison to equity. The company is therefore at risk due to
the huge debt burden. The company, however, is well able to
pay its interest expense and is therefore able of covering the
debt. The company’s hugest cash flow is from the net income.
The company has good cash flow from the cash flow statement.
There are three methods of costing that are used. The first is the
First in First out (FIFO), Last in First out (LIFO) and Average
cost method. Different methods are used by different
companies. In the first assignment, we covered Ford Motor
Company. The company uses two types of costing system which
are the LIFO and FIFO systems. Using the LIFO system, the
inventory that comes in last is the first to be sold. In the FIFO
system, the inventory that is bought by the company first is sold
the first to the company’s customers. The average inventory
system considers the weight of the entire inventory. Ford Motor
Co. deals with the sale of automobiles and commercial vehicles.
30% of the company’s inventory is measured using the LIFO
method while the rest of the inventory is measured using FIFO
(Johnson, 2014).
The two inventory costing methods have various advantages.
The LIFO is beneficial to the company as it increases the cost
of goods sold and reduces the inventory recorded on the balance

8. sheet. An increase in the cost of goods reported leads to less
amount that the company has to pay income tax. The company
sells its old model and its new model of cars. There are
different customers that the company has who have different
taste. The LIFO would report the sale of new models, and the
FIFO would report the sale of the older models. FIFO method
has the advantage that it is used to record the sale of the old and
outdated models (Johnson, 2014).
References
Johnson, P. F. (2014). Purchasing and supply management.
McGraw-Hill Higher Education.
Running head: PUBLIC MANUFACTURING COMPANY
1
PUBLIC MANUFACTURING COMPANY
4
Public Manufacturing Company
Name: Rodney Wheeler
Institution: Rasmussen College
Course: A332/ACG3357 Section 02 Accounting for Business
Managers
Date: 05/19/17
Introduction
Presently, Ford Motor Company is the third biggest auto
manufacturing company in the world. It has been functional
since its establishment in 1903. After such a long time, the
industry has managed to revolutionize regarding its operations
management. Presently the planning, controlling and decision-
making in Ford have been set forth to meet the varying demands
of the consumers internationally.

9. Planning
The company has a robust talent management plan that
provision the plan of its operations. It has a strategic planning
of the workforce that looks into the future of the company's
future and the establishment plans internationally (Goetsch,
2014). The strategic plan brings together the human resources,
operations and the business strategies to evaluate the
employees' preparedness in developing a solid management of
their talent in the industry. For instance, the company has many
strategic pilots presently ongoing, one involving the recruiting
operations of U.S.
Control
Control is the process whereby the company evaluates the actual
outcome with the performance of the employees (kerzner,
2013). When the management of the company seemed not to
find satisfactory from sick units, the company decided to sell
these vehicles to Tata. Another example is when the company
decided to reduce the number of employees to save money. The
management is responsible for controlling all the operations of
the enterprise.
Decision Making
Decision making in most manufacturing companies is very
challenging today. The policy makers in Fords Motor Company
face challenges when evaluating the various options that the
firm has (Kerzner, 2013). The decision makers in this company
make easier, systematic, effective, efficient and logic decisions.
For example, the policy makers decide that the manufacturing
engineers, managers, practitioners and designers are involved in

10. the manufacturing and designing of the vehicles and parts. The
decision making in the company is considerate in that in
considers the employee's skills and assigns the employees
according to their areas of expertise.
References
Goetsch, D. L., & Davis, S. B. (2014). Quality management for
organizational excellence. Upper Saddle River, NJ: Pearson.
Kerzner, H. (2013). Project management: a systems approach to
planning, scheduling, and controlling. John Wiley & Sons.