Corporations keep various types of financial records and it is the responsibility of managers to make sure that the records are maintained and resolved at the end of the fiscal year. Most company has shareholders that want a year-end account on how the company has done and with a projection of what the company is capable of doing in the future. The shareholders have a vested interest and want to be kept informed on how the company is doing financially. Financial records for major corporations are public knowledge and this paper is comparing Target and Wal-Mart and their financial standings.
Wal-Mart Corporation
Wal-Mart Stores, Inc. operates retail stores in various formats around the world. Wal-Mart is committed to growing by improving the standard of living for our customers throughout the world. Wal-Mart earns the trust of its customers every day by providing a broad assortment of quality merchandise and services at every day low prices while fostering a culture that rewards and embraces mutual respect, integrity, and diversity. In 2006 the net sales were $312.4 billion versus in 2005 were $285 billion.
The following chart shows the basic financial highlights of the fiscal years 2006 & 2005.
Financial summary Fiscal year 2006 Fiscal year 2005
Operating results
Net sales 312427 285222
Net sales increase 9.5% 11.3%
Comparative store sales increase in US 3% 3%
Cost of sales 240391 219793
Operating, selling, general expenses 56733 51248
Interest expense net 11 ...