Vocabulary and Practice of Organizational Finance
The company Advanced Micro Devices, Inc., otherwise known as AMD, has been a well-known company to produce semiconductors with facilities around the world. It incorporated in 1969 and went public in 1972. Since then they have grown into a company worth billions whereas they started with $100,000 alone. They have produced some of the most sought out processors and graphics, video, and multimedia products to date. This companyâ€™s products are used extensively from business systems to home use.
In this module, the companyâ€™s finances will be examined and explained. AMDâ€™s 2010 annual report on form 10-K will be used to discuss ...view middle of the document...
This led to their increase in money for 2010. It was as if GF was in fact, holding them back from reaching a substantial amount of gain.
AMDâ€™s internal thinking caps were on for 2009 and they needed to see where they could make a gain in revenue. This was their decisions on many things like the settlements and the deconsolidation of GF. In 2010 AMD wanted to bring about winning platform products, to differentiate themselves with their graphics technology, and to launch the AMD Fusion family of APUs and to demonstrate their success of financial and business models focusing on semiconductor design. (AMD 2010)
On the third page of the 10-K, Mr. Thomas Seifert addresses the stockholders and puts assurance in their pocket about the what had become of 2010 and the future of the company. This is a good piece of the information that puts stockholders at ease and builds trust with them. This is another way to inform investors of how their money is being used to better the company and make the investors wealthier.
AMD uses analysis of their financial condition and results of operations, along with sales levels by product and projections of future demand, and goodwill impairment analysis to show how they inform their decisions for the direction of the company. This allows them also a way to inform investors of where and how the money they put into AMD is being used and gives shareholders the knowledge if they want to...