《读懂财务报表 第5版》

CHAPTER1 Financial Statements：An Overview1

Map or Maze1

Organization2

Usefulness4

Volume of Information4

The Financial Statements5

Notes to the Financial Statements5

Auditor s Report9

Other Required Information14

Pandora（a.k.a“PR Fluff”）15

Complexity16

Alphabet Soup16

Mythical Mountain18

Quality of Financial Reporting23

Accounting Policies,Estimates—Choices and Changes23

Timing of Revenue and Expense Recognition25

Discretionary Items26

Nonrecurring and Nonoperating Items27

Impact of Inflation28

Missing and Hard-to-Find Information31

Self-Test33

Study Questions and Problems36

La-Z-Boy Mini-Case37

Chambers Development Company,Inc.Mini-Case42

CHAPTER2 The Balance Sheet49

Financial Condition49

Consolidation50

Balance Sheet Date50

Comparative Data50

Assets50

Current Assets50

Cash and Marketable Securities52

Accounts Receivable53

Inventories55

Inventory Accounting Methods56

Prepaid Expenses58

Property,Plant,and Equipment59

Other Assets61

Liabilities61

Current Liabilities61

Accounts Payable62

Notes Payable62

Current Maturities of Long-Term Debt63

Accrued Liabilities63

Unearned Revenue or Deferred Credits63

Deferred Federal Income Taxes64

Long-Term Debt66

Other Liabilities66

Retained Earnings67

Additional Paid-In Capital67

Common Stock67

Stockholders Equity67

Other Equity Accounts68

Other Balance Sheet Items69

Self-Test69

Study Questions and Problems73

Intel Corporation Mini-Case75

The Rival Company Mini-Case80

CHAPTER3 The Income Statement and Statement of Retained Earnings86

The Income Statement87

Net Sales89

Cost of Goods Sold90

Gross Profit91

Operating Expense91

Depreciation and Amortization92

Operating Profit93

Earnings Before Income Taxes94

Other Income（Expense94

Net Earnings95

Earnings Per Common Share95

The Statement of Retained Earnings96

Statement of Shareholders Equity97

Other Issues—Cost vs.Equity Method99

Earnings Quality,Inflation,Cash Flow,Segmental Accounting100

Self-Test101

Study Questions and Problems105

Time Warner Mini-Case107

IBM Corporation Mini-Case110

CHAPTER4 Statement of Cash Flows114

Preparing a Statement of Cash Flows116

Calculating Cash Flow From Operating Activities121

Direct Method121

Indirect Method123

Cash Flow from Financing Activities125

Cash Flow from Investing Activities125

Change in Cash126

Analyzing the Statement of Cash Flows126

Cash Flow from Operations126

Nocash Corporation128

Help from a Statement of Cash Flows130

Summary Analysis of the Statement of Cash Flows131

Supplement to Chapter4:Adjusting Net Income from Accrual to Cash—An Illustration133

Self-Test135

Study Questions and Problems139

PetsMart Mini-Case145

Royal Appliance Mfg.Co.and Subsidiaries Mini-Case147

CHAPTER5 The Analysis of Financial Statements150

Objectives of the Analysis150

Sources of Information151

Auditor s Report151

Other Sources152

Form 10-K and Form 10-Q152

Management s Discussion and Analysis152

Supplementary Schedules152

Tools and Techniques153

Common Size Financial Statements154

Key Financial Ratios156

Liquidity Ratios:Short-Term Solvency157

Activity Ratios:Asset Liquidity,Asset Management Efficiency160

Leverage Ratios:Debt Financing and Coverage163

Profitability Ratios:Overall Efficiency and Performance165

Analyzing the Data167

Background:Economy,Industry,and Firm168

Short-Term Liquidity169

Net Trade Cycle171

Capital Structure and Long-Term Solvency172

Example of Financial Leverage172

Operating Efficiency and Profitability175

Ratio Analysis summary177

Projections,Pro Formas,and Market Ratios178

Summary of Analysis180

Map181

Self-Test181

Study Questions and Problems186

First Team Sports,Inc.Mini-Case200

L.A.Gear,Inc.Mini-Case207

Appendixes213

A A Guide to Earnings Quality213

B The Analysis of Segmental Data227

C Understanding Bank Financial Statements235

D Solutions to Self-Tests245

E Summary of Financial Ratios247

F Glossary249

Index261