Financial reports are the prim
Financial reports are the primary means by whichcorporations report their performance and financial condition.Financial statements are one component of the annual report mailedto their shareholders and to interested others. Many companies areusing the 10-K report that they file with the SEC as a replacementfor the financial portion of their annual report.
Required:
Obtain the most recent annual report (or 10-K report) for theyear ended 12/31/2019 (filed 2/13/20) for Tesla Inc. The easiestway is to use the EDGAR search tools on theSEC.gov website). Scroll down to the middle of theSEC home page. You will see you will see “EDGAR Search Company andIndividual finding.” Type Tesla’s ticker symbol (TSLA) in the boxto the right. You will be taken to the Tesla, Inc. filings page.Look for the most recent 10-K report. Click on theBLUE oval that reads “Interactive Data.” (Makesure it is the 10-K report, not the 10-Q.)
After browsing the report, click on theyellow-orange header that reads,“Financial Statements” then “Consolidated Balance Sheets”to answer the following questions:
1. Name two Current Assets and two Long-term Assets that arelisted on the Balance Sheet.
2. What is the value of the 1) Total Current Assets and 2) theTotal Assets shown? (Be sure to use a dollar sign and indicate “inmillions.”)
2. Name two Current Liabilities and two Long-term Liabilitieslisted. What is the value of the 1) Total Current Liabilities and2) Total Liabilities shown? (Be sure to use a dollar sign andindicate “in millions.”)
3. Now look at the Income Statement (Statement of Operations).What are the three main sources of revenue for Tesla? What are thetotal revenues for 2019? (Be sure to use a dollar signand indicate “in millions.”)
4. Continue looking on the Income Statement: What is the GrossProfit for 2019? What is amount of the Net Loss for2019? (Be sure to use a dollar sign and indicate “inmillions.”)
5. What are two factors (expenses) that may have contributed toTesla’s Net Loss for the period? Be Specific.
- Answer questions 1-4 in completesentences.
- Please indicate (for each item) exactly where you foundit in the annual report. (e.g., Financial Statements -> BalanceSheet -> Current Assets section.)
Answer:
1. Name two Current Assets and two Long-term Assets that arelisted on the Balance Sheet.
Financial Statements -> Balance Sheet -> CurrentAssets section
| Tesla,Inc. | ||
| Consolidated balanceSheet | ||
| (In Millions, except per sharedata) | ||
| Particulars | December 31,2019 | December 31,2018 |
| Assets | ||
| Current Assets | ||
| Accounts receivable, net | $ 1,324 | $ 949 |
| Inventory | $ 3,552 | $ 3,113 |
Financial Statements -> Balance Sheet -> NonCurrent Assets section
| Tesla,Inc. | ||
| Consolidated balanceSheet | ||
| (In Millions, except per sharedata) | ||
| Particulars | December 31,2019 | December 31,2018 |
| Assets | ||
| Non Current Assets | ||
| Property, plant and equipment,net | $ 10,396 | $ 11,330 |
| Goodwill | $ 198 | $ 68 |
2. What is the value of the 1) Total Current Assets and 2) theTotal Assets shown? (Be sure to use a dollar sign and indicate “inmillions.”)
Financial Statements -> Balance Sheet -> CurrentAssets section and total assets
| Tesla,Inc. | |||
| Consolidated balanceSheet | |||
| (In Millions, except per sharedata) | |||
| Sr. No | Particulars | December 31,2019 | December 31,2018 |
| 1 | Total Current Assets | $ 12,103 | $ 8,307 |
| 2 | Total Assets | $ 34,309 | $ 29,740 |
.
3. Now look at the Income Statement (Statement of Operations).What are the three main sources of revenue for Tesla? What are thetotal revenues for 2019? (Be sure to use a dollar signand indicate “in millions.”)
Financial Statements -> Consolidated Statements ofOperations -> Revenue
| Tesla,Inc. | ||
| Consolidated Statements ofOperations | ||
| (In Millions, except per sharedata) | ||
| Particulars | December 31,2019 | December 31,2018 |
| Revenues | ||
| Automotive sales | $ 19,952 | $ 17,632 |
| Energy generation andstorage | $ 1,531 | $ 1,555 |
| Services and other | $ 2,226 | $ 1,391 |
| TotalRevenue | $ 23,709 | $ 20,578 |
The three main sources of revenue for Tesla-
Financial Statements -> Consolidated Statements ofOperations -> Revenue
| Particulars |
| Majour Sources of Revenues |
| Automotive sales |
| Energy generation and storage |
| Services and other |
Financial Statements -> Consolidated Statements ofOperations -> Revenue
Total revenues for 2019 –
| Particulars | December 31,2019 |
| Revenues | |
| Automotive sales | $ 19,952 |
| Automotive Leasing | $ 869 |
| Energy generation andstorage | $ 1,531 |
| Services and other | $ 2,226 |
| TotalRevenue | $ 24,578 |
4. Continue looking on the Income Statement: What is the GrossProfit for 2019? What is amount of the Net Loss for2019? (Be sure to use a dollar sign and indicate “inmillions.”)
Financial Statements -> Consolidated Statements ofOperations -> Gross Profit & NetLoss
| Tesla,Inc. | ||
| Consolidated Statements ofOperations | ||
| (In Millions, except per sharedata) | ||
| Particulars | December 31,2019 | December 31,2018 |
| Gross profit | $ 4,069 | $ 4,042 |
| Net Loss | $ (775) | $ (1,063) |
5. What are two factors (expenses) that may have contributed toTesla’s Net Loss for the period? Be Specific.
Below two factors that may have contributed to Tesla’sNet Loss –
Lower Auto Revenue – Auto Revenue is as compareto cost relared to the revenue is lower that impacted the companiesprofit.
Lower Other Revenue – Other revenue also i.e.revenue generated from the same is lower as compare to costincurred to generate the same.
Tesla has 20% GP to the total sales. and cost related to thesame which pertains 80% needs to slower down which will improvetheir profit.
"Our Prices Start at $11.99. As Our First Client, Use Coupon Code GET15 to claim 15% Discount This Month!!"
