Introduction

This research is based on an examination of Adobe Inc.`s financial performance and value. The report includes a capital use study of fixed assets as well as a working capital analysis. This report delves into the company`s working capital and how receivables, inventory, and payables are handled. Oracle Corporation, Microsoft Corporation, IBM, SalesForce.com, and Autodesk Inc. are among Adobe`s primary competitors.

Discussion

The account receivable of Adobe Inc. was continuously increasing from the year 2016 to 2019. But in the year 2020 account receivables fall. Decreasing accounts receivables is beneficial since it indicates that the firm has converted the account receivable to cash. As a result, it`s just a balance sheet adjustment where you reduce receivables and boost cash. The cash and cash equivalents were grown by nearly 30% over the previous year, according to the balance sheet. Accounts payable, on the other hand, is steadily expanding. Account payable was $88 million in 2016, and it will be $306 million in 2020. AP grows in comparison to the previous period, indicating that the corporation is purchasing more products or services on credit rather than paying cash. Adobe Inc.`s balance sheet and income statement clearly demonstrate that sales were $9634 million in 2019 and climbed to $11626 million in 2020, with a cash balance of $4177 million in 2019 and $5992 million in 2020.