Deferred taxes
$117
Lonng-term liabilities
$588
$104 458
$562
Stockholder's equity:
CCPlroeemfeamrrroendlysstt,ooccckka($s1hparivsalume) uch
公司理财Ross-Chap002
Chapter Outline
2.1 The Balance Sheet 2.2 The Income Statement 2.3 Taxes 2.4 Net Working Capital 2.5 Financial Cash Flow 2.6 The Accounting Statement of Cash Flows 2.7 Cash Flow Management
Total liabilities and stockholder's equity$1,879 $1,742
公司理财Ross-Chap002
Balance Sheet Analysis
• When analyzing a balance sheet, the Finance Manager should be aware of three concerns: 1. Liquidity 2. Debt versus equity 3. Value versus cost
公司理财Ross-Chap002
U.S. Composite Corporation Balance Sheet
Current assets: Cash and equivalents Accounts receivable Inventories Other Total current assets
2010 2009
$140 294 269 58
$761
$107 270 280 50
$707
Fixed assets:
Property, plant, and equipment $1,423 $1,274
Less accumulated depreciation (550) (460)
Net property, plant, and equipment 873 814
Chapter 2
Financial Statements and Cash Flow
McGraw-Hill/Irwin
公司理财CoRpoyrsisg-hCth©ap2000120 by the McGraw-Hill Companies, Inc. All rights reserved.
Key Concepts and Skills
Intangible assets and other
245 221
Total fixed assets
$1,118 $1,035
Total assets
$1,879 $1,742
The assets are listed i2n010ord20e0r9
by the length Current Liabilities: Accounts payable
公司理财Ross-Chap002
Sources of Information
• Annual reports
• Wall Street Journal
• Internet
• NYSE () • NASDAQ () • Textbook ()
• SEC
• EDGAR • 10K & 10Q reports
公司理财Ross-Chap002
2.1 The Balance Sheet
An accountant’s snapshot of the firm’s accounting value at a specific point in time
The Balance Sheet Identity is: Assets ≡ Liabilities + Stockholder’s Equity
• Understand the information provided by financial statements • Differentiate between book and market values • Know the difference between average and marginal tax rates • Know the difference between accounting income and cash flow • Calculate a firm’s cash flow
m$359o5 re
$39 32
liACqcacpuuitmaidlusluatrtephdlurasetnainepdreoarnpinegsrty,
p33la4970nt,
327 347
anLedss tereaqsuuryisptomck ent. Total equity
(26) (20) $805 $725
of
time
$i2t13wo$u19l7d
nANococtrreumsepdaaeyxalpbleylenstesake a firm w2i2t53h0
53 205
onTgotaol ciunrrgentoliapbileitiersations to$486 $455
Lcoongn-tevrmerliatbitlithiese: m into cash.
公司理财Ross-Chap002
Liquidity
• Refers to the ease and quickness with which assets can be converted to cash—without a significant loss in value
• Current assets are the most liquid. • Some fixed assets are intangible. • The more liquid a firm’s assets, the less likely the firm is to