Advanced Financial Statement Analysis
  1. Financial Statements: Introduction
  2. Financial Statements: Who's In Charge?
  3. Financial Statements: The System
  4. Financial Statements: Cash Flow
  5. Financial Statements: Earnings
  6. Financial Statements: Revenue
  7. Financial Statements: Working Capital
  8. Financial Statements: Long-Lived Assets
  9. Financial Statements: Long-Term Liabilities
  10. Financial Statements: Pension Plans
  11. Financial Statements: Conclusion

Financial Statements: Introduction

By David Harper
(Contact David)

Whether you watch analysts on CNBC or read articles in The Wall Street Journal, you'll hear experts insisting on the importance of "doing your homework" before investing in a company. In other words, investors should dig deep into the company's financial statements and analyze everything from the auditor's report to the footnotes. But what does this advice really mean, and how does an investor follow it?

The aim of this tutorial is to answer these questions by providing a succinct yet advanced overview of financial statements analysis. If you already have a grasp of the definition of the balance sheet and the structure of an income statement, this tutorial will give you a deeper understanding of how to analyze these reports and how to identify the "red flags" and "gold nuggets" of a company. In other words, it will teach you the important factors that make or break an investment decision.

If you are new to financial statements, don't despair - you can get the background knowledge you need in the Intro To Fundamental Analysis tutorial.

Financial Statements: Who's In Charge?

  1. Financial Statements: Introduction
  2. Financial Statements: Who's In Charge?
  3. Financial Statements: The System
  4. Financial Statements: Cash Flow
  5. Financial Statements: Earnings
  6. Financial Statements: Revenue
  7. Financial Statements: Working Capital
  8. Financial Statements: Long-Lived Assets
  9. Financial Statements: Long-Term Liabilities
  10. Financial Statements: Pension Plans
  11. Financial Statements: Conclusion
RELATED TERMS
  1. Footnotes To The Financial Statements

    Additional information provided in a company's financial statements. ...
  2. Profit and Loss Statement (P&L)

    A financial statement that summarizes the revenues, costs and ...
  3. Financial Statements

    Records that outline the financial activities of a business, ...
  4. Income Statement

    A financial statement that measures a company's financial performance ...
  5. Red

    A term relating to a negative balance on a company's financial ...
  6. Consolidated Financial Statements

    The combined financial statements of a parent company and its ...
RELATED FAQS
  1. How are the three major financial statements related to each other?

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  2. What's the difference between an income statement and a balance sheet approach?

    Understand more about the principle purposes and primary differences between a company's income statement and its balance ... Read Answer >>
  3. What is the difference between a compiled and a certified financial statement?

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  4. Which financial statements are most important when performing ratio analysis?

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  6. How do you find a company's P&L statement?

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