| |
| |
| Preface | |
| |
| |
| Uses for the Eighth Edition | |
| |
| |
| Features of the Eighth Edition | |
| |
| |
| Acknowledgments | |
| |
| |
| About the Authors | |
| |
| |
| |
| Financial Statements: An Overview | |
| |
| |
| Map or Maze | |
| |
| |
| Usefulness | |
| |
| |
| Volume of Information | |
| |
| |
| Where to Find a Company's Financial Statements | |
| |
| |
| The Financial Statements | |
| |
| |
| Notes to the Financial Statements | |
| |
| |
| Auditor's Report | |
| |
| |
| Management Discussion and Analysis | |
| |
| |
| Five-Year Summary of Selected Financial Data and Market Data | |
| |
| |
| Pandora (A.K.A. "PR Fluff") | |
| |
| |
| Proxy Statement | |
| |
| |
| Missing and Hard-to-Find Information | |
| |
| |
| Complexities | |
| |
| |
| A Global Marketplace | |
| |
| |
| Mythical Mountain | |
| |
| |
| Other Discretionary Issues | |
| |
| |
| More Complications | |
| |
| |
| Quality of Financial Reporting | |
| |
| |
| Accounting Policies, Estimates-Choices and Changes | |
| |
| |
| Timing of Revenue and Expense Recognition | |
| |
| |
| Discretionary Items | |
| |
| |
| Nonrecurring and Nonoperating Items | |
| |
| |
| The Journey Through the Maze Continues | |
| |
| |
| Self-Test | |
| |
| |
| Study Questions and Problems | |
| |
| |
| |
| The Walt Disney Company | |
| |
| |
| |
| Ultimate Electronics, Inc. | |
| |
| |
| |
| The Balance Sheet | |
| |
| |
| Financial Condition | |
| |
| |
| Consolidation | |
| |
| |
| Balance Sheet Date | |
| |
| |
| Comparative Data | |
| |
| |
| Common-Size Balance Sheet | |
| |
| |
| Assets | |
| |
| |
| Current Assets | |
| |
| |
| Cash and Marketable Securities | |
| |
| |
| Accounts Receivable | |
| |
| |
| Inventories | |
| |
| |
| Inventory Accounting Methods | |
| |
| |
| Prepaid Expenses | |
| |
| |
| Property, Plant, and Equipment | |
| |
| |
| Other Assets | |
| |
| |
| Liabilities | |
| |
| |
| Current Liabilities | |
| |
| |
| Accounts Payable | |
| |
| |
| Notes Payable | |
| |
| |
| Current Maturities of Long-Term Debt | |
| |
| |
| Accrued Liabilities | |
| |
| |
| Unearned Revenue or Deferred Credits | |
| |
| |
| Deferred Federal Income Taxes | |
| |
| |
| Long-Term Debt | |
| |
| |
| Capital Lease Obligations | |
| |
| |
| Postretirement Benefits Other Than Pensions | |
| |
| |
| Commitments and Contingencies | |
| |
| |
| Hybrid Securities | |
| |
| |
| Stockholders' Equity | |
| |
| |
| Common Stock | |
| |
| |
| Additional Paid-In Capital | |
| |
| |
| Retained Earnings | |
| |
| |
| Other Equity Accounts | |
| |
| |
| Other Balance Sheet Items | |
| |
| |
| Self-Test | |
| |
| |
| Study Questions and Problems | |
| |
| |
| |
| Lucent Technologies | |
| |
| |
| |
| 1-800 Contacts, Inc. | |
| |
| |
| |
| Income Statement and Statement of Stockholders' Equity | |
| |
| |
| The Income Statement | |
| |
| |
| Common-Size Income Statement | |
| |
| |
| Net Sales | |
| |
| |
| Cost of Goods Sold | |
| |
| |
| Gross Profit | |
| |
| |
| Operating Expense | |
| |
| |
| Depreciation and Amortization | |
| |
| |
| Operating Profit | |
| |
| |
| Other Income (Expense) | |
| |
| |
| Equity Earnings | |
| |
| |
| Earnings Before Income Taxes/Effective Tax Rate | |
| |
| |
| Special Items | |
| |
| |
| Net Earnings | |
| |
| |
| Earnings Per Common Share | |
| |
| |
| Comprehensive Income | |
| |
| |
| The Statement of Stockholders' Equity | |
| |
| |
| Earnings Quality, Cash Flow, Segmental Accounting | |
| |
| |
| Self-Test | |
| |
| |
| Study Questions and Problems | |
| |
| |
| |
| Dillard's Inc. | |
| |
| |
| |
| Applied Materials | |
| |
| |
| |
| Statement of Cash Flows | |
| |
| |
| Preparing a Statement of Cash Flows | |
| |
| |
| Calculating Cash Flow from Operating Activities | |
| |
| |
| Indirect Method | |
| |
| |
| Cash Flow from Investing Activities | |
| |
| |
| Cash Flow from Financing Activities | |
| |
| |
| Change in Cash | |
| |
| |
| Analyzing the Statement of Cash Flows | |
| |
| |
| Cash Flow from Operations | |
| |
| |
| Nocash Corporation | |
| |
| |
| R.E.C. Inc.: Analysis of the Statement of Cash Flows | |
| |
| |
| R.E.C. Inc. Analysis: Cash Flow from Operating Activities | |
| |
| |
| Summary Analysis of the Statement of Cash Flows | |
| |
| |
| Analysis of Cash Inflows | |
| |
| |
| Analysis of Cash Outflows | |
| |
| |
| Are We There Yet? | |
| |
| |
| Self-Test | |
| |
| |
| Study Questions and Problems | |
| |
| |
| |
| PetMed Express, Inc. | |
| |
| |
| |
| Candela Corporation | |
| |
| |
| |
| Statement of Cash Flows-Direct Method | |
| |
| |
| Direct Method | |
| |
| |
| |
| A Guide to Earnings and Financial Reporting Quality | |
| |
| |
| Using the Checklist | |
| |
| |
| |
| Sales or Revenues | |
| |
| |
| |
| Cost of Goods Sold | |
| |
| |
| |
| Operating Expenses | |
| |
| |
| |
| Nonoperating Revenue and Expense | |
| |
| |
| |
| Other Issues | |
| |
| |
| What Are the Real Earnings? | |
| |
| |
| Quality of Financial Reporting-The Balance Sheet | |
| |
| |
| Quality of Financial Reporting-The Statement of Cash Flows | |
| |
| |
| Self-Test | |
| |
| |
| Study Questions and Problems | |
| |
| |
| |
| Nortel Networks Corporation | |
| |
| |
| |
| FindWhat.com, Inc. | |
| |
| |
| |
| The Analysis of Financial Statements | |
| |
| |
| Objectives of Analysis | |
| |
| |
| Sources of Information | |
| |
| |
| Proxy Statement | |
| |
| |
| Auditor's Report | |
| |
| |
| Management Discussion and Analysis | |
| |
| |
| Supplementary Schedules | |
| |
| |
| Form 10-K and Form 10-Q | |
| |
| |
| Other Sources | |
| |
| |
| Tools and Techniques | |
| |
| |
| Common-Size Financial Statements | |
| |
| |
| Key Financial Ratios | |
| |
| |
| Liquidity Ratios: Short-Term Solvency | |
| |
| |
| Cash Conversion Cycle or Net Trade Cycle | |
| |
| |
| Activity Ratios: Asset Liquidity, Asset Management Efficiency | |
| |
| |
| Leverage Ratios: Debt Financing and Coverage | |
| |
| |
| Profitability Ratios: Overall Efficiency and Performance | |
| |
| |
| Market Ratios | |
| |
| |
| Analyzing the Data | |
| |
| |
| Background: Economy, Industry, and Firm | |
| |
| |
| Short-Term Liquidity | |
| |
| |
| Operating Efficiency | |
| |
| |
| Capital Structure and Long-Term Solvency | |
| |
| |
| Profitability | |
| |
| |
| Relating the Ratios-The Du Pont System | |
| |
| |
| Projections and Pro Forma Statements | |
| |
| |
| Summary of Analysis | |
| |
| |
| Self-Test | |
| |
| |
| Study Questions and Problems | |
| |
| |
| |
| Action Performance Companies, Inc. | |
| |
| |
| |
| Taser International, Inc. | |
| |
| |
| |
| The Analysis of Segmental Data | |
| |
| |
| Appendixes | |
| |
| |
| |
| Summary of Financial Ratios | |
| |
| |
| |
| Solutions to Self-Tests | |
| |
| |
| |
| Glossary | |
| |
| |
| Index | |