10 Nov We Only Need Another $100,000!Chris Titera is the
We Only Need Another $100,000!Chris Titera is the chief financial officer (CFO) for Dallas Company. It is January 10, and Chris has just finished compiling the preliminary financial results for the most recent fiscal year, which ended on December 31. The preliminary results indicate that Dallas lost $100,000 during the year. Dallas is a large company (with assets in excess of $1 billion), so the $100,000 loss is essentially the same as zero. However, the board of directors thinks that it conveys a very negative image for Dallas Company to report a loss for the year, even if the loss amount is very small. As a result, it has instructed Chris to look at the numbers again and see if he can turn this loss into a profit. What things can Chris do, as the CFO, to turn this loss into a profit? What concerns should Chris have?
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