Peter Bergevin, Michael MacQueen, and Laurel Mitchell
The purpose of Financial Statement Analysis: Content and Context is to teach students how to interpret financial statements and use that knowledge to make economic decisions. We have written this text for the beginning financial statement analyst in a manner that both engages and challenges students. Financial Statement Analysis: Content and Context fosters such learning in a user-friendly environment, one replete with identifiable firms and numerous real-life illustrations.
Pragmatic learning features abound Financial Statement Analysis: Content and
Context. By using this text, students will learn the art, as well as the science, of financial statement analysis. Financial Statement Analysis: Content and Context improves students' analytical perception, creativity, and resourcefulness as well as teaching them the quantitative methods underlying financial statement analysis. This text initially uses a simplistic, fictional set of financial disclosures to demonstrate financial statement analysis. It text then leverages that basic skill set to the analysis of such iconic firms as Wal-Mart, McDonald's, Coca-Cola, American Airlines Group, and Hewlett-Packard.
Financial Statement Analysis: Content and Context consists of four parts encompassing fifteen chapters. An overview of the financial statement analysis, financial reporting complexities, historical financial statement analyses, and prospective financial analysis are the four main sections of the text. Chapters within each section of the text develop the topics in depth. For example, the third section of the book devoted to historical financial statement analysis examines the roles that liquidity, profitability, and solvency play in analysis and the information they contain for decision-making purposes.
We present numerous sidebars addressing analytic topics and industry information within each chapter. One type of sidebar that appears at multiple points in every chapter is titled My Analysis. These sidebars require students to think about topical issues and answer stimulating questions about financial statement analysis. The other type of in-chapter feature, called Industry Insights, applies the theoretical chapter constructs to five industries featured throughout the text - discount retail, non-alcoholic beverages, air carriers, franchised restaurants, and airlines.
You will probably concur with the authors' assessment that some students struggle to understand the detailed financial disclosures required by generally accepted accounting principles. Knowing the what, how, and why of the financial statements, however, is imperative to sound analysis. Financial Statement Analysis: Content and Context makes extensive use of exhibits and illustrations to help students' master complex financial reporting issues (the thorny details, if you will) in an efficient, effective, and student-oriented manner.