THE ASSIGNMENT - ANNUAL REPORT
Inspect an annual report of a corporation listed on either the New York or American Stock Exchange. Read the report. The report will contain many details not covered in your study to date. Nevertheless, you will see the general picture portrayed by the balance sheet, income statement and other statements. Complete the following:
(NOTE: Use the latest year's report available)
1. Annual Report for (Give year of report)
Name of company is
2. Location of corporate headquarters (city and state)
3. Principal products or services
4. Main geographic area of activity
5. Name and title of chief executive officer (CEO)
6. Ending date of latest operating year reported
7. Indicate terms (if any) used INSTEAD of:
(a)
Balance Sheet
=
(d)
Stockholders equity
=
(b)
Income statement
=
(e)
Revenues
=
(c)
Retained income
=
(f)
Expenses
=
8. Total Assets =
9. Total Liabilities =
10. Stockholders Equity =
11. Total Revenues =
12. Total Expenses =
13. Net Income:
14. Earnings Per Share on Common Stock
15. Latest market price of common stock (give price and date of Wall St. Journal)
16. Current ratio:
17. Quick ratio:
18. Debt ratio
For both Accounts Receivable and Inventory Turnover use "averages" in the denominator. The beginning plus the ending divided by "2" will be the average. An example: beginning inventory of $1,000 plus ending inventory of $2,000 = $3,000/2 = an average of $1,500.
19. Average inventory:
20. Inventory Turnover Ratio:
21. Number of Days for Inventory Turnover
22. What method of inventory valuation(s) is the company using?
23. What depreciation method(s) is the company using?
24. Average Accounts Receivable
25. Accounts Receivable Turnover Ratio:
26. Number of Days for Accounts Receivable Turnover
27. What is the operating cycle of this company?
28. What is the cash flow from investing activities?
29. What is the cash flow from operating activities?
30. Briefly explain what questions 28 & 29 & 30 tell you about the company?
31. Markets in which common stock is traded
32. General impression of the Wall Street Journal? Brief 1or 2 sentences.
33. Were the notes to the annual report useful? Did the notes give you any information you would not have known or found interesting?
34. Name and location of independent public accountants
35. ON ONE PAGE, give your general impression of your company's Annual Report. (For example: quality, scope, usefulness, format, readability, interest to you, etc.). If you had $10,000 would you invest in this company? Why or why not.