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Financial Analysis and Comparison - Google & Yahoo

In: Business and Management

Submitted By lilyztj
Words 8165
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Financial Analysis and Comparison

I

Google & Yahoo!
Financial Analysis & Comparison

I.
II.

INTRODUCTION
CASH

III.

ACCOUNTS RECEIVABLE

IV.

REVENUE

V.
VI.
VII.
VIII.
IX.

LIABILITIES
CONTINGENT LIABILITIES
FIXED ASSETS
MERGERS & ACQUISITIONS
CONCLUSION

II

Google & Yahoo!
Financial Analysis & Comparison
I. INTRODUCTION

Google Larry Page and Sergey Brin, two Stanford graduates, are the founders of Google. It was incorporated in
California in September 1998 and reincorporated in Delaware in August 2003, the IRP raised an initial $1.67 billion. In October 2000, it launched Google AdWords, which forms the company’s primary source of revenue till date. Its advertising services include performance advertising and brand advertising. While Google is the internet search giant, it still has to keep innovating to ensure that it grows and doesn’t stagnate or go down the curve. This is the reason Google spends a considerable share of its revenue on acquisitions and research and development. Yahoo! Jerry Yang and David Filo, two Stanford graduates, are the founders of Yahoo!. It was incorporated in
March 1995 and raised $33.8 million during its IPO. Yahoo began its operations as a Web Directory and its primary source of revenue has been advertising since then. It was a successful in 1990s, until Google started dominating the search engine industry starting mid 2000's Since then, Yahoo! has been concentrating on reinventing its business strategy and experimenting new avenues to expand its business.

II. CASH

More often than not, a company's performance is measured by how efficiently it can generate cash.
However, a company is not measured based on the cash balance stated on its balance sheet. On the contrary, high levels of cash assets depict poor asset...

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