Course name: Executing and Reporting Financial Market

Introduction
The paper analyzes a money market instrument as well as a capital market instrument.
The capital market instrument selected is the stock of Adobe (ADBE) and the money market
instrument selected is Municipal Bonds with 2 year maturity. The paper will analyze the
financial performance of both the instruments including the accounting and ethical issue related
to both the investment instruments.
Analysis
1. Capital Market Instrument
The capital market instrument selected for analysis is the stock of Adobe Systems.
Founded in 1982, Adobe Systems is a
diversified software company, whose product
portfolio includes creative solutions,
knowledge workers solutions, Omniture, and
mobile application softwares and services,
which are used by Creative Professionals,
Consumers, Knowledge workers and
Enterprises. Adobe operates in the America, Europe, Middle East and Africa and Asia and
distributes its products through a network of distributors, value-added resellers, systems
integrators, independent software vendors and through their own Website at www.adobe.com.
Their software runs on personal computers with Microsoft Windows, Linux, UNIX, Apple Mac
operating systems and various non-PC platforms, depending on the product. On more than 600
Sales Mix
8%
21%
58%
6%
1%
6%
Creative Solutions Knowledge Worker
Enterprise Platform
Print and Publishing Omniture
Revenue Region Wise
48%
29%
23%
America EMEA Asia
million PCs and other devices, Flash Player and Acrobat Reader have been installed providing a
universal platform for Web applications. Adobe delivers powerful design, Web, mobile and
dynamic media production, which helps people express, their ideas in imaginative and
meaningful new ways. In 4
th
quarter 2009 Adobe acquired Omniture at approximately $1.8
billion on a fully diluted equity-value basis is the leader in web analytics.
Geographical Revenue
Adobe is one of the most diversified software
companies in the world and operates in the
America, Europe, Middle East and Africa and Asia.
The results on revenue basis were 48% from
Americas, 29% from Europe and 23% from Asia.
Competition:
Microsoft and Apple have their respective operating systems and both have designed
their digital media software for their operating system which gives direct competition to Adobe’s
digital media software. Apple with its Mac computer application has attracted large
professionals, publishers and graphic designers who were using Adobe’s creative suite. Another
competition from Apple to Adobe is Apple's iLife series which have many functions similar to...