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Reading Financial Reports For Dummies, 3rd Edition

Reading Financial Reports For Dummies, 3rd Edition

Lita Epstein

ISBN: 978-1-118-76193-9 December 2013 384 Pages


In Stock



Discover how to decipher financial reports

Especially relevant in today's world of corporate scandals and new accounting laws, the numbers in a financial report contain vitally important information about where a company has been and where it is going.

Packed with new and updated information, Reading Financial Reports For Dummies, 3rd Edition gives you a quick but clear introduction to financial reports–and how to decipher the information in them.

  • New information on the separate accounting and financial reporting standards for private/small businesses versus public/large businesses
  • New content to match SEC and other governmental regulatory changes
  • New information about how the analyst-corporate connection has actually changed the playing field
  • The impact of corporate communications and new technologies
  • New examples that reflect current trends
  • Updated websites and resources

Reading Financial Reports For Dummies is for investors, traders, brokers, managers, and anyone else who is looking for a reliable, up-to-date guide to reading financial reports effectively.

Introduction 1

Part I: Getting Started with Reading Financial Reports 5

Chapter 1: Opening the Cornucopia of Reports 7

Chapter 2: Recognizing Business Types and Their Tax Rules 19

Chapter 3: Public or Private: How Company Structure Affects the Books 27

Chapter 4: Digging into Accounting Basics 41

Part II: Checking Out the Big Show: Annual Reports 57

Chapter 5: Exploring the Anatomy of an Annual Report 59

Chapter 6: Balancing Assets against Liabilities and Equity 73

Chapter 7: Using the Income Statement 89

Chapter 8: The Statement of Cash Flows 105

Chapter 9: Scouring the Notes to the Financial Statements 119

Chapter 10: Considering Consolidated Financial Statements 137

Part III: Analyzing the Numbers 149

Chapter 11: Testing the Profits and Market Value 151

Chapter 12: Looking at Liquidity 169

Chapter 13: Making Sure the Company Has Cash to Carry On 179

Part IV: Understanding How Companies Optimize Operations 191

Chapter 14: How Reports Help with Basic Budgeting 193

Chapter 15: Turning Up Clues in Turnover and Assets 203

Chapter 16: Examining Cash Inflow and Outflow 215

Chapter 17: How Companies Keep the Cash Flowing 225

Part V: The Many Ways Companies Answer to Others 233

Chapter 18: Finding Out How Companies Find Errors: The Auditing Process 235

Chapter 19: Digging into Government Regulations 245

Chapter 20: Creating a Global Financial Reporting Standard 257

Chapter 21: Checking Out the Analyst–Corporation Connection 267

Chapter 22: How Companies Communicate with Shareholders 279

Chapter 23: Keeping Score When Companies Play Games with Numbers 293

Part VI: The Part of Tens 315

Chapter 24: Ten (+1) Financial Scandals That Rocked the World 317

Chapter 25: Ten Signs That a Company’s in Trouble 327

Glossary 333

Index 341