The data will then be stored until it is needed to process and become useful, and then communicated through reports to the decision maker (me the manager). The accounting information is then taken into action by the decision makers, which will affect the subsequent business activities (Needles & Powers, 2012, p. 4). All companies have goals that engage in the following: Operating activities, investing activities, and financing activities (Needles & Powers, 2012, p. 5).
2. As a potential investor or creditor, what financial knowledge would you need to evaluate CVS’s financial performance? As a potential investor, I would evaluate CVS’s past success and financial statements to know how the business is performing (Needles & Powers, 2012, p. 9). It’s important as an investor to evaluate the business in this manner and that if I’m interested in the company’s past and future success. The company also delivered a total return to shareholders of 48% while the S&P 500 and the Dow Jones industrial average returned 2% and 10%, respectively, over the same period (Needles & Powers, 2012, p. 58).
3. Is CVS meeting its goal of