Do you think that the explanatory notes, supplementary schedule, Management's Discussion and Analysis, 10-K filing, Auditor's report and Proxy statements provide more information for financial analysis than do the actual financial statements for a company?
Amidst the accounting shenanigans, Enron and WorldCom among others, that happened in the early 21st century, the importance of financial reporting quality became a focus in financial statement analysis. A principal concern of many users of financial statements has been whether or not earnings are overstated. Thus, analysts look for supplemental information to back up their analysis. This supplemental information includes data from a company's explanatory ...
The solution examines financial analysis of an auditors report and proxy statements.