Note: Not guaranteed to come with supplemental materials (access cards, study guides, lab manuals, CDs, etc.)
Extend Your Rental at Any Time
Need to keep your rental past your due date? At any time before your due date you can extend or purchase your rental through your account.
Sorry, this item is currently unavailable.
An updated guide to the essential discipline of financial statement analysisIn 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 evaluationFilled 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.
MARTIN FRIDSON is Global Credit Strategist at BNP Paribas Investment Partners, one of the world's largest asset managers. Over a twenty-five-year span with brokerage firms including Salomon Brothers, Morgan Stanley, and Merrill Lynch, he became known for his innovative work in credit analysis and investment strategy. Fridson has served as president of the Fixed Income Analysts Society, governor of the Association for Investment Management and Research (now CFA Institute), and director of the New York Society of Security Analysts.
FERNANDO ALVAREZ is currently an Adjunct Associate Professor of Finance and Economics at the Columbia University Graduate Business School, where he teaches entrepreneurship finance. From 2003 until 2008, he was associate professor in the Finance and Economics Department and director of entrepreneurship programs at Rutgers Business School, Newark and New Brunswick. Alvarez has taught at New York University's Stern School of Business where he was associate professor on innovation and entrepreneurship, and Babson College where he was assistant professor of finance.
Table of Contents
Preface to Fourth Edition
Reading between the Lines
The Adversarial Nature of Financial Reporting
The Purpose of Financial Reporting
The Flaws in the Reasoning
Small Profits and Big Baths
Maximizing Growth Expectations
The Importance of Being Skeptical
The Basic Financial Statements
The Balance Sheet
The Value Problem
Comparability Problems in the Valuation of Financial Assets
Instantaneous Wipeout of Value
How Good Is Goodwill?
Losing Value the Old-Fashioned Way
True Equity Is Elusive
Pros and Cons of a Market-Based Equity Figure
The Common Form Balance Sheet
The Income Statement
Making the Numbers Talk
How Real Are the Numbers?
The Statement of Cash Flows
The Cash Flow Statement and the Leveraged Buyout
Cash Flow and the Company Life Cycle
The Concept of Financial Flexibility
In Defense of Slack
A Closer Look at Profits
What Is Profit?
Bona Fide Profits versus Accounting Profits
What Is Revenue?
Which Costs Count?
How Far Can the Concept Be Stretched?
Channel-Stuffing in the Drug Business
A Second Take on Earnings
Astray on Layaway
Recognizing Membership Fees
A Potpourri of Liberal Revenue Recognition Techniques
Fattening Earnings with Empty Calories
Tardy Disclosure at Halliburton
Managing Earnings with Rainy Day Reserves
Fudging the Numbers: A Systematic Problem
Nortel's Deferred Profit Plan
Grasping for Earnings at General Motors
Time-Shifting at Freddie Mac
The Applications and Limitations of EBITDA
EBIT, EBITDA, and Total Enterprise Value
The Role of EBITDA in Credit Analysis
A busing EBITDA
A More Comprehensive Cash Flow Measure
Working Capital Adds Punch to Cash Flow Analysis
The Reliability of Disclosure and Audits
An Artful Deal
Systematic Problems in Auditing
Maximizing Postacquisition Reported Earnings
Managing Acquisition Dates and Avoiding Restatements
Is Fraud Detectable?
Telltale Signs of Manipulation
Fraudsters Know Few Limits
Enron: A Media Sensation
HealthSouth's Excruciating Ordeal
Milk and Other Liquid Assets
Forecasts and Security Analysis
Forecasting Financial Statements
A Typical One-Year Projection
Sensitivity Analysis with Projected Financial Statements
Projecting Financial Flexibility
Pro Forma Financial Statements
Pro Forma Statements for Acquisitions
Balance Sheet Ratios
Income Statement Ratios
Statement of Cash Flows Ratios
Relating Ratios to Credit Risk
The Dividend Discount Model
The Price-Earnings Ratio
Why P/E Multiples Vary
The Du Pont Formula
Valuation through Restructuring Potential
Appendix: Explanation of Pro Forma Adjustments for Hertz Global Holdings, Inc./DTG
About the Authors
Table of Contents provided by Ingram. All Rights Reserved.