财务报表分析 英文版 第7版PDF电子书下载

1　FUNDAMENTAL CONCEPTS ANDINTRODUCTION TO FINANCIAL REPORTING　 1

Development of Generally Accepted Accounting Principles(GAAP) 1

American Institute of Certified Public Accountants(AICPA)·Financial Accounting Standards Board(FASB)·OperatingProcedure for Statements of Financial Accounting Standards(SFAS)·FASB Conceptual FrameworkAdditional Input—American Instit 10

Emerging Issues Task Force(EITF) 11

Traditional Assumptions of the Accounting Model 11

Business Entity·Going Concern or Continuity·TimePeriod·Monetary Unit·Historical Cost·Conservatism·Realization·Matching·Consistency·Full Disclosure·Materiality·Industry Practices·Transaction Approach·Present Value Considerat 23

Questions　 23

Problems 　 27

Case 1-1 Standards Overload? 33

Case 1-2 Standard Setting: A Political Aspect 34

Case 1-3 Standard Setting: By the Way of the United StatesCongress 39

Case 1-4 Recognizing Revenue and Related Costs—ConsiderThese Situations(PartⅠ) 39

Case 1-5 Recognizing Revenue and Related Costs—ConsiderThese Situations(PartⅡ) 41

Case 1-6 Cash Basis—Accrual Basis? 42

Case 1-7 Going Concern? 43

Case 1-8 Economics and Accounting:The Uncongenial Twins 44

Forms of Business Entities 47

2　INTRODUCTION TO FINANCIAL STATEMENTSAND OTHER FINANCIAL REPORTING TOPICS 47

The Financial Statements 48

Balance Sheet (Statement of Financial Position）·Income Statement（Statement of Earnings)·Statement of Owners Equity(Reconcilia-tion of Owners Equity Accounts)·Statement of Cash Flows（Statement of Inflows and Outflows of Cash)·Foot 52

Recording Transactions·Recording Adjusting Entries·Preparingthe Financial StatementsHuman Resources and Social Accounting 56

Auditor s Report 56

Management s Responsibility for Financial Statements·The SEC sIntegrated Disclosure System·ProxySummary Annual Report 66

Ethics 66

Harmonization of International Accounting Standards 68

Questions 71

Summary 71

Problems 73

Case 2-1 The CEO Retires 78

Case 2-2 The Dangerous Morality of Managing Earnings 81

Case 2-3 Frequent-Flier Awards—Tick-Tick,Tick-Tick,Tick-Tick 88

Case 2-4 International Accounting—Harmonization inPractice 　 89

3　BALANCE SHEET 93

Consolidated Statements 93

Accounting for Business Combinations 94

Basic Elements of the Balance Sheet 95

APB Opinion No.15·FASB Statement No. 128

Summary 134

Assets·Liabilities·Owners Equity·Quasi-Reorganization·Foreign Currency Translation·UnrealizedHolding Gains and Losses·Equity-Oriented DeferredCompensation·Employee Stock Ownership Plans(ESOPs)·Treasury Stock·Owners Equity in Un 134

Questions 135

Problems 138

Case 3-1 Balance Sheet Review 145

Case 3-2 Insight on Liabilities and Shareholders Equity 148

Case 3-3 Insight on Shareholders Investment 149

Case 3-4 Insight on Assets 150

Case 3-5 Selective Review of Balance Sheet 151

Case 3-6 Our Principal Asset Is Our People 154

Case 3-7 Brands Are Dead? 155

Case 3-8 Advertising—Asset? 155

4 INCOME STATEMENT 157

Basic Elements of the Income Statement 157

Net Sales(Revenues)·Cost of Goods Sold or Cost of Sales·Other Operating Revenue·Operating Expenses·OtherIncome and ExpenseSpecial Income Statement Items 160

(A)Unusual or Infrequent Item Disclosed Separately·(B)Equity in Earnings of Nonconsolidated Subsidiaries·Income Taxes Related to Operations·(C)DiscontinuedOperations·(D)Extraordinary Items·(E)CumulativeEffect of Change in Accountin 170

Retained Earnings 171

Dividends and Stock Splits 173

Summary 176

Questions 176

Problems 178

Case 4-1 Single-Step/Multiple-Step Income Statement 185

Case 4-2 Identify Nonrecurrent Items 186

Case 4-3 Review of Income 187

Case 4-4 Examination of Income Statement 188

Case 4-5 The Big Order 189

Ratio Analysis 191

5 BASICS OF ANALYSIS 191

Common-Size Analysis(Vertical and Horizontal) 192

Financial Statement Variations by Type of Industry 193

Review of Descriptive Information 196

Comparisons 199

Trend Analysis·Standard Industrial Classification Manual(SIC)·Industry Averages and Comparison with Competitors·Caution inUsing Industry AveragesRelative Size of Firm 217

Other Library Sources 217

Standard Poor s Reports·Standard Poor s Register of Corpora-tions,Directors,and Executives·Standard Poor s Analyst sHandbook·Standard Poor s Corporation Records·America sCorporate Families:TM The Billion Dollar Directory？· 221

Company s Intemet Home Page·Accounting-Oriented Home PagesThe Users of Financial Statements 223

Questions 225

Summary 225

Problems 227

6 AN ILLUSTRATION OF STATEMENT ANALYSIS:PART Ⅰ—COOPER TIRE RUBBER COMPANY 229

Cooper Tire Rubber Company Operations 229

Products and Sales·Raw Materials·Research,Development,andProduct Improvement 229

1995 Financial Statements for Cooper Tire Rubber Company 231

The Tire Industry 232

Questions 249

Problems 250

Case 6-1 Comprehensive Review of Statements 250

7 LIQUIDITY OF SHORT-TERM ASSETS;RELATED DEBT-PAYING ABILITY 253

Current Assets,Current Liabilities,and the Operating Cycle 253

Cash·Marketable Securities·Receivables·Inventories·Prepayments·Other Current Assets·Current LiabilitiesCurrent Assets Compared with Current Liabilities 279

Working Capital·Current Ratio·Acid-Test Ratio(QuickRatio)·Cash RatioOther Liquidity Considerations 286

Sales to Working Capital(Working Capital Turnover)·LiquidityConsiderations Not on the Face of the StatementsSummary 288

Questions 290

Problems 293

Case 7-1 LIFO-FIFO 309

Case 7-2 Rising Prices,a Time to Switch Off LIFO? 311

Case 7-3 The Other Side of LIFO 312

Case 7-4 Booming Retail 314

8 LONG-TERM DEBT-PAYING ABILITY 317

Income Statement Consideration when Determining Long-TermDebt-Paying Ability 317

Times Interest Earned·Fixed Charge CoverageBalance Sheet Consideration when Determining Long-TermDebt-Paying Ability 322

Debt Ratio·Debt/Equity Ratio·Debt to Tangible Net WorthRatio·Other Long-Term Debt-Paying Ability RatiosSpecial Items that Influence a Firm s Long-Term Debt-PayingAbility 332

Long-Term Assets Versus Long-Term Debt·Long-TermLeasing·Pension Plans·Postretirement Benefits Other thanPensions·Joint Ventures·Contingencies·Financial Instrumentswith Off-Balance-Sheet Risk and Financial Instruments withConcentra 355

Questions　 356

Problems 358

Case 8-1 Deferred Taxes?The Answer Is Yes! 368

Case 8-2 Expensing Interest Now and Later 373

Case 8-3 Consideration of Leases 374

Case 8-4 Consider These Contingencies 376

Case 8-5 Insight on Pensions and Postretirement Benefits 377

Case 8-6 Retirement Plans Revisited 381

Case 8-7 Fair Value of Financial Instruments 382

9 ANALYSIS OF PROFITABILITY 385

Profitability Measures 385

Net Profit Margin·Total Asset Turnover·Return onAssets·DuPont Return on Assets·Interpretation ThroughDuPont Analysis·Variation in Computation of DuPont RatiosConsidering Only Operating Accounts·Operating IncomeMargin·Operating As 400

Segment Reporting　 400

Gains and Losses that Bypass the Income Statement　 404

Interim Reports　 406

Summary 　 408

Questions 　 410

Problems 411

Case 9-1 Johnny s Self-Service Station 420

Case 9-2 The Tale of the Segments 421

Case 9-3 Insights on Geographic Area 424

Case 9-4 Profitability Analysis 425

10 ANALYSIS FOR THE INVESTOR 429

Leverage and Its Effect on Earnings 429

Definition of Financial Leverage and MagnificationEffects·Computation of the Degree of FinancialLeverage·Summary of Financial LeverageEarnings per Common Share 433

Price/Earnings Ratio 436

Percentage of Earnings Retained 437

Dividend Payout 438

Dividend Yield 440

Book Value per Share 440

Stock Options 441

Stock Appreciation Rights 444

Summary 445

Questions 446

Problems 447

Case 10-1 Stock Split 454

Case 10-2 View This Investment 457

Case 10-3 Stock Option Plan 460

Case 10-4 Consideration of Stock Dividend 462

Case 10-5 Stock Split Revisited 468

11 STATEMENT OF CASH FLOWS 473

A Review of the Funds Statement 474

Basic Elements of the Statement of Cash Flows 477

Financial Ratios and the Statement of Cash Flows 486

Procedures for Development of the Statement of Cash Flows 　 490

Operating Cash Flow/Current Maturities of Long-Term Debt andCurrent Notes Payable·Operating Cash Flow/TotalDebt·Operating Cash Flow per Share·Operating Cash Flow/Cash DividendsAlternative Cash Flow 　 490

Summary　 499

Questions　 499

Problems　 501

Case 11-1 Cash Flow Tales 517

Case 11-2 Watch the Cash 519

Case 11-3 Rapidly Expanding 521

Case 11-4 Cash Movements and Periodic Income Determination 530

12 STATEMENT ANALYSIS:PART Ⅱ—COOPER TIRE RUBBER COMPANY 533

Eleven-Year Summary 533

Comments Related to Eleven-Year Summary 533

Liquidity·Long-Term Debt-PayingAbility·Profitability·Investor Analysis·OtherManagement s Discussion and Analysis 541

Selected Comments Under Financial Condition ·SelectedComments Under Results of Operations Five-Year Ratio Comparison 544

Liquidity·Long-Term Debt-PayingAbility·Profitability·Investor AnalysisRatio Comparison with Industry Averages 548

Liquidity·Long-Term Debt-PayingAbility·Profitability·Investor AnalysisSummary　 552

13　EXPANDED UTILITY OF FINANCIAL RATIOS 553

Financial Ratios as Perceived by Commercial Loan Departments 553

Most Significant Ratios and Their Primary Measure·RatiosAppearing Most Frequently in Loan AgreementsFinancial Ratios as Perceived by Corporate Controllers 555

Most Significant Ratios and Their Primary Measure·Key FinancialRatios Included as Corporate ObjectivesFinancial Ratios as Perceived by Certified Public Accountants 558

Financial Ratios as Perceived by Chartered Financial Analysts 559

Financial Ratios Used in Annual Repots 560

Degree of Conservatism and Quality of Earnings 562

Inventory·Fixed Assets·Intangible Assets·Pensions·LeasesForecasting Financial Failure 564

Univariate Model·Multivariate ModelAnalytical Review Procedures 568

Management s Use of Analysis 569

Use of LIFO Reserves 569

Summary 573

Graphing Financial Information 573

CoNTENTSQuestions 576

Problems 578

Case 13-1 What Position? 599

14 IMPACT OF CHANGING PRICES ON FINANCIALSTATEMENTS 603

Constant Dollar Accounting(Price-Level) 603

Current Cost Accounting 612

Financial Reporting and Changing Prices 614

Summary 617

Questions 617

Problems 619

15 STATEMENT ANALYSIS FOR SPECIAL INDUSTRIES:BANKS,UTILITIES,OIL AND GAS,TRANSPORTATION,INSURANCE,REAL ESTATE COMPANIES 625

Banks 625

Balance Sheet·Income Statement·Ratios for BanksElectric Utilities 636

Financial Statements·Ratios for Electric UtilitiesOil and Gas 646

Successful Efforts Versus Full Cost·Supplementary Informationon Oil and Gas Exploration,Development,and ProductionActivities·Cash FlowTransportation 650

Financial Statements·RatiosInsurance 657

Balance Sheet Under GAAP·Income Statement UnderGAAP·RatiosReal Estate Companies 665

Summary 666

Questions 671

Problems 673

Case 15-1 Allowance for Funds 678

Case 15-2 In Progress 681

Case 15-3 Loans and Provision for Loans 685

Case 15-4 You Can Bank on It 686

Case 15-5 Proved Reserves 691

Case 15-7 Insight 693

Case 15-6 Heavenly Flying 693

16 PERSONAL FINANCIAL STATEMENTS ANDACCOUNTING FOR GOVERNMENTS ANDNOT-FOR-PROFIT ORGANIZATIONS 695

Personal Financial Statements 695

Form of the Statements·Suggestions for Reviewing the Statementof Financial Condition·Suggestions for Reviewing the Statement ofChanges in Net Worth·Illustration of Preparation of the Statementof Financial Condition·Illustration of P 705

Accounting for Not-For-Profit Organizations Other thanGovernments 710

1．SFAS No.93. Recognition of Depreciation by Not-for-ProfitOrganizations (August 1987)·2．SFAS No.116, Accounting forContributions Received and Contributions Made (June 1993)·3．SFAS No.117, Financial Statements of Not-for-Profit Org 722

Questions 725

Problems 726

Case 16-1 Governor Lucas-This Is Your County 731

COMPREHENSIVE CASE—Worthington Industries 741

GLOSSARY 759

BIBLIOGRAPHY 779

INDEX 789