book

Financial Statement Analysis: A Practitioner's Guide, Fourth Edition

by MARTIN FRIDSON, FERNANDO ALVAREZ

July 2011

Beginner to intermediate

400 pages

11h 12m

English

Wiley

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THE PURPOSE OF FINANCIAL REPORTINGTHE FLAWS IN THE REASONINGSMALL PROFITS AND BIG BATHSMAXIMIZING GROWTH EXPECTATIONSDOWNPLAYING CONTINGENCIESTHE IMPORTANCE OF BEING SKEPTICALCONCLUSION

THE VALUE PROBLEMCOMPARABILITY PROBLEMS IN THE VALUATION OF FINANCIAL ASSETSINSTANTANEOUS WIPEOUT OF VALUEHOW GOOD IS GOODWILL?LOSING VALUE THE OLD-FASHIONED WAYTRUE EQUITY IS ELUSIVEPROS AND CONS OF A MARKET-BASED EQUITY FIGURETHE COMMON FORM BALANCE SHEETCONCLUSION
MAKING THE NUMBERS TALKHOW REAL ARE THE NUMBERS?CONCLUSION
THE CASH FLOW STATEMENT AND THE LEVERAGED BUYOUTANALYTICAL APPLICATIONSCASH FLOW AND THE COMPANY LIFE CYCLETHE CONCEPT OF FINANCIAL FLEXIBILITYIN DEFENSE OF SLACKCONCLUSION
BONA FIDE PROFITS VERSUS ACCOUNTING PROFITSWHAT IS REVENUE?WHICH COSTS COUNT?HOW FAR CAN THE CONCEPT BE STRETCHED?CONCLUSION
CHANNEL-STUFFING IN THE DRUG BUSINESSA SECOND TAKE ON EARNINGSASTRAY ON LAYAWAYRECOGNIZING MEMBERSHIP FEESA POTPOURRI OF LIBERAL REVENUE RECOGNITION TECHNIQUESFATTENING EARNINGS WITH EMPTY CALORIESTARDY DISCLOSURE AT HALLIBURTONMANAGING EARNINGS WITH RAINY DAY RESERVESFUDGING THE NUMBERS: A SYSTEMATIC PROBLEMCONCLUSION
NORTEL'S DEFERRED PROFIT PLANGRASPING FOR EARNINGS AT GENERAL MOTORSTIME-SHIFTING AT FREDDIE MACCONCLUSION
EBIT, EBITDA, AND TOTAL ENTERPRISE VALUETHE ROLE OF EBITDA IN CREDIT ANALYSISABUSING EBITDAA MORE COMPREHENSIVE CASH FLOW MEASUREWORKING CAPITAL ADDS PUNCH TO CASH FLOW ANALYSISCONCLUSION
AN ARTFUL DEALDEATH DUTIESSYSTEMATIC PROBLEMS IN AUDITINGCONCLUSION
MAXIMIZING POSTACQUISITION REPORTED EARNINGSMANAGING ACQUISITION DATES AND AVOIDING RESTATEMENTSCONCLUSION
TELLTALE SIGNS OF MANIPULATIONFRAUDSTERS KNOW FEW LIMITSENRON: A MEDIA SENSATIONHEALTHSOUTH'S EXCRUCIATING ORDEALMILK AND OTHER LIQUID ASSETSCONCLUSION
A TYPICAL ONE-YEAR PROJECTIONSENSITIVITY ANALYSIS WITH PROJECTED FINANCIAL STATEMENTSPROJECTING FINANCIAL FLEXIBILITYPRO FORMA FINANCIAL STATEMENTSPRO FORMA STATEMENTS FOR ACQUISITIONSMULTIYEAR PROJECTIONSCONCLUSION
BALANCE SHEET RATIOSINCOME STATEMENT RATIOSSTATEMENT OF CASH FLOWS RATIOSCOMBINATION RATIOSRELATING RATIOS TO CREDIT RISKCONCLUSION
THE DIVIDEND DISCOUNT MODELTHE PRICE-EARNINGS RATIOWHY P/E MULTIPLES VARYTHE DU PONT FORMULAVALUATION THROUGH RESTRUCTURING POTENTIALCONCLUSION
CHAPTER 1 The Adversarial Nature of Financial ReportingCHAPTER 2 The Balance SheetCHAPTER 3 The Income StatementCHAPTER 4 The Statement of Cash FlowsCHAPTER 5 What Is Profit?CHAPTER 6 Revenue RecognitionCHAPTER 7 Expense RecognitionCHAPTER 8 The Applications and Limitations of EBITDACHAPTER 9 The Reliability of Disclosure and AuditsCHAPTER 10 Mergers-and-Acquisitions AccountingCHAPTER 11 Is Fraud Detectable?CHAPTER 12 Forecasting Financial StatementsCHAPTER 13 Credit AnalysisCHAPTER 14 Equity Analysis

Overview

An updated guide to the essential discipline of financial statement analysis

In Financial Statement Analysis, Fourth Edition, leading investment authority Martin Fridson returns with Fernando Alvarez to provide the analytical framework you need to scrutinize financial statements, whether you're evaluating a company's stock price or determining valuations for a merger or acquisition.

This fully revised and up-to-date Fourth Edition offers fresh information that will help you to evaluate financial statements in today's volatile markets and uncertain economy, and allow you to get past the sometimes biased portrait of a company's performance.

Reflects changes in the financial reporting landscape, including issues related to the financial crisis of 2008-2009
Provides guidelines on how to interpret balance sheets, income statements, and cash flow statements
Offers information for maximizing the accuracy of forecasts and a structured approach to credit and equity evaluation

Filled with real-life examples and expert advice, Financial Statement Analysis, Fourth Edition will help you gain a firm understanding of the techniques that will help you interpret financial statements, which are designed to conceal more than reveal.