The latter is typically used for network equipment for local telephone operations. Depreciation policies include the recording of plant, property and equipment at cost. Local telephone operations again are subject to different depreciation methods, and use the straight line method and the group remaining life method, depending on the asset. The company also chooses to capitalize all software that has a useful life of over one year. The straight line method is used and the period will be between 2 and 7 years depending on the software.
The company has a significant amount of intangible assets of its balance sheet. These consist primarily of wireless licenses. These licenses are typically granted for a fixed period of time, but renewals occur routinely. Therefore, Verizon treats wireless licenses as indefinite intangible assets and therefore the licenses are subject to re-evaluation each reporting period.
Verizon also enters into derivative contracts in order to manage its exchange rate and interest rate risk. These derivatives are recorded at fair value, and as such they are recorded on the balance sheet as either assets or liabilities depending on whether or not they are under water.
Summary of Findings
Verizon's financial policies are in line with GAAP and there is little out of the ordinary about the company's treatment of inventories, derivatives or intangible assets. The company has grown rapidly in recent years, but there is a cost associated with that growth. Verizon's long-term debt has increased steadily, while its equity has not. That said, Verizon is a profitable company and the investments have been necessary for the company to retain its current favorable position in the market. The industry is driven by technology investment, so Verizon has been compelled to continue its intense investments as a means of retaining competitiveness. The long-term outlook for Verizon is generally positive as it has a large balance of wireless licenses that provide the company with the opportunity for growth, but this must be tempered with the knowledge that Verizon is increasing its costs...
market case analysis for Verizon FiOS TV offered by Verizon Communications. The analysis consists of product, pricing, promotional, and distribution strategies which Verizon Communications should follow in order to operate in the industry in the most competitive and profitable way. The analysis of industry and competition is also given as a part of marketing research strategy. Verizon Communications is one of the leading communication services providers in the World. Its
Other protests presented by CIS included unfair evaluation of OTG - another presenting company. Complaints here included vague requirements; insufficient detail as to why they rejected proposal; apparent duplicity (as in the case of implying that three of its present employees were available for position); and ambiguous and vague language in its blanket statements. The decision was that the agency misevaluated the proposal of CIS as well as that of OTG,
Marketing Plan Nextel's Marketing Plan for Industrial/Business Customers Industry Overview a. Market Competitors Nextel comes in the competitive carrier service market in the U.S., competing with Sprint PCS and other large industries like Verizon Corp. And Cingular Wireless LLC. Almost in the same time line as Sprint PCS, Nextel started new approach to increase sales by maximizing e-commerce strategy. Revolution in web performance and thorough accessible service via web site has put Nextel
AT&T is in basic terms a telecommunications services provider with operations not only in the U.S. But also in other parts of the world. In this text, I conduct an analysis of the company. In so doing, I will amongst other things explore its accounting systems and internal controls. Further, I will also conduct a brief review of its financial statements. Company Overview In so many ways, AT&T can be regarded an
With the widespread use of such technologies, we require greater understanding of the personal and social attributes that affect why people use computer-mediated communication (CMC) and the outcomes of CMC-related behavior." (Papacharissi & Rubin, 2000) Barriers and Issues The most fundamental concern in the refurbishment building's networking and VoIP proposal is also the industry's most basic barriers to accomplishing the goal of networking success. In other words, instituting a highly efficient
According to Paul B. Mckimmy (2003), "The first consideration of wireless technology is bandwidth. 802.11b (one of four existing wireless Ethernet standards) is currently the most available and affordable specification. It allows a maximum of 11 megabits per second (Mbps)" (p. 111); the author adds that wired Ethernet LANs are typically 10 or 100 Mbps. In 1997, when the IEEE 802.11 standard was first ratified, wireless LANs were incompatible and
Our semester plans gives you unlimited, unrestricted access to our entire library of resources —writing tools, guides, example essays, tutorials, class notes, and more.
Get Started Now