Financial Statement Analysis A Look at The Balance Sheet PDF
Financial Statement Analysis A Look at The Balance Sheet PDF
Financial Statement Analysis A Look at The Balance Sheet PDF
Financial statements
provide the means
to measure the
performance of a
company and its
management. And
items reported in
the financial
statements, such as
sales, earnings, and
cash flow, help value
and growth investors
gauge the worth of
the stock price.
FUNDAMENTALS
FUNDAMENTALS
$ 320
1,070
90
980
1,400
100
2,800
Investments
350
Long-Term Liabilities
Deferred income tax
Long-term debt
930
230
700
300
Total Assets
4,150
$ 540
230
60
170
100
1,100
150
1,000
Total Liabilities
Other Assets
Goodwill
Current Liabilities
Accounts payable
Accrued expenses
Income tax payable
Notes payable
Current portion of long-term debt
Total Current Liabilities
2,250
Stockholders equity
Common stock
Paid in capital
Retained earnings
Total Stockholders Equity
800
800
300
1,900
4,150
FUNDAMENTALS
10
STOCKHOLDERS EQUITY
CONCLUSION
This is the ownership interest in
the company and is composed of a
common stock account and a
retained earnings account. A common stock account will appear on
the balance sheet when common
stock with a stated par value (such
as one dollar), meaningless from an
investors viewpoint, is sold. The
account will reflect the par value of
the shares sold. The paid-in-capital
account records the amount initially
paid by the shareholders above the
par value of the common stock.