Lucent Technology Case

Lucent Technologies Case Yulissa T. Ortiz Salgado March 30, 2013 pecuniary Reporting Peeking Under the Financial Hood Mrs. Darcie Sargent The Lucent Technologies is a follow that dishs creating new revenue generating opportunities for customers done the communication service. We all know how useful and important communication operate have become throughout the years. Lucent Technologies is compounded of three organizations almost the products and they are Integrated Network Solutions, Mobility Solutions and Lucent Worldwide Services.Integrated Network Solutions in addition known as INS declare oneselfs a service related to voice networking standardised voice messages, data and network management. Mobility offers software and wireless equipment to support radiocommunication like we do it on a car, and other electronic devices however, all these equipment requires bills to keep it break offning and to maintain it, so delivery plays a very important place on this confeder acy like in every other. It is mentioned in the reading that throughout the years the economy was alter and the revenues or earnings as well.In 2003, the parallelism sheet shows a match of total assets of 15,911. Also, it shows a debt of 19,282. We match that there is no earning but a loss in the balance sheet. On 2003 the loss shown is 4,239. Besides the economy downs and cons we can see that one year after, on 2004 things started to get go financially talking. It is non a big difference, but we can see it is helping the company to hang in there. The assets balance shows a 16,963, 1,052 more than the year before. The liabilities went down from 19,282 to 18,342.Also, the loss has decrease, by tone ending up from (4,239) to (1,379). For this company would be hard to find investors because of the financial deficit they are confronting. The liabilities are way bigger than the earnings, because there are no earnings at all. If I were an investor, I would not put my money on a co mpany that I see its not generating any money. It is true that the liabilities are decreasing, but in a strong slowly way. Possibly if the liability was the alike(p), but the earnings were about the same amount would be different.If I were an investor, I would also like to nerve at the Statement of Cash flows of the company to see where the money is on the dot being spent on and were the money is also coming from. When a company is showing this kind of deficit it is very important as an investor to be able to determine why this is happening. The financial statements definitely provide the complete info needed to find out that information. Going deeper into the loans and the liabilities information would also help to determine how we could lower the debt to help the company run in a better way.Finally, I think I would comely like to see all financial statements to determine how could my investment help in a positive way the company and also the company help me financially with the time. Usually we do not expect a company to generate lots of money right away, but we do expect to live from it after a while. Therefore, it is needed to understand the strengths and weaknesses of the company and financial statements are the perfect tools to find all that information. Reference taste Financial Statements, Eight Edition, by Lyn M. Fraser and Aileen Omiston. Published by Prentice Hall, 2007.