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Financial Statement Analysis Workbook: Step-by-Step Exercises and Tests to Help You Master Financial Statement Analysis (Wiley Finance)
 
 
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Financial Statement Analysis Workbook: Step-by-Step Exercises and Tests to Help You Master Financial Statement Analysis (Wiley Finance) [Paperback]

Martin S. Fridson CFA (Author), Fernando Alvarez (Author)
3.0 out of 5 stars  See all reviews (5 customer reviews)

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Book Description

July 29, 2002 0471409189 978-0471409182 3rd Edition
Whether you're evaluating a company's stock price, assessing its credit quality, or determining valuations for a merger or acquisition, deciphering the messages embedded within a company's financial statements is critical-especially after the recent demise of so-called "solid" companies. This workbook will help you do this and much more, by allowing you to hone your skills and test the knowledge you've gained from reading Financial Statement Analysis, Third Edition.

Question-and-answer sections within this workbook correspond to each chapter of Financial Statement Analysis, Third Edition, so you can use this guide in conjunction with the actual text. Alternatively, you can use the self-administered tests that are also a part of this workbook to independently practice the skill of reading and understanding financial statements. Either way, using the Financial Statement Analysis Workbook will help you expand your skills in reading and analyzing financial statements-so you can successfully put your hard-won knowledge to work in the real world.

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Customers buy this book with Financial Shenanigans: How to Detect Accounting Gimmicks & Fraud in Financial Reports, Third Edition $22.36

Financial Statement Analysis Workbook: Step-by-Step Exercises and Tests to Help You Master Financial Statement Analysis (Wiley Finance) + Financial Shenanigans:  How to Detect Accounting Gimmicks & Fraud in Financial Reports, Third Edition


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From the Back Cover

Whether you’re evaluating a company’s stock price, assessing its credit quality, or determining valuations for a merger or acquisition, deciphering the messages embedded within a company’s financial statements is critical–especially after the recent demise of so-called "solid" companies. This workbook will help you do this and much more, by allowing you to hone your skills and test the knowledge you’ve gained from reading Financial Statement Analysis, Third Edition.

Question-and-answer sections within this workbook correspond to each chapter of Financial Statement Analysis, Third Edition, so you can use this guide in conjunction with the actual text. Alternatively, you can use the self-administered tests that are also a part of this workbook to independently practice the skill of reading and understanding financial statements. Either way, using the Financial Statement Analysis Workbook will help you expand your skills in reading and analyzing financial statements–so you can successfully put your hard-won knowledge to work in the real world.

About the Author

MARTIN FRIDSON is Managing Director at Merrill Lynch & Company and a member of Institutional Investor s All-America Fixed Income Research Team. His other books include How to Be a Billionaire, It Was a Very Good Year, and Investment Illusions, all published by Wiley. He is a past governor of the Association for Investment Management and Research.

FERNANDO ALVAREZ is Clinical Associate Professor in the Berkley Center for Entrepreneurial Studies at the Stern School of Business at NYU. His current research focuses on the management of cash flows resulting from changes in working capital requirements, the structure of cash flows, and the sources and uses of capital for the entrepreneurial firm. His research has been funded by the MacArthur Foundation, the Kaufman Foundation, U.S. Trust of Boston, and Wells Fargo Bank.

Product Details

  • Paperback: 168 pages
  • Publisher: Wiley; 3rd Edition edition (July 29, 2002)
  • Language: English
  • ISBN-10: 0471409189
  • ISBN-13: 978-0471409182
  • Product Dimensions: 9.1 x 6.1 x 0.4 inches
  • Shipping Weight: 7 ounces (View shipping rates and policies)
  • Average Customer Review: 3.0 out of 5 stars  See all reviews (5 customer reviews)
  • Amazon Best Sellers Rank: #812,799 in Books (See Top 100 in Books)

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31 of 37 people found the following review helpful:
3.0 out of 5 stars Make sure you get the real book 1st, October 28, 2002
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This review is from: Financial Statement Analysis Workbook: Step-by-Step Exercises and Tests to Help You Master Financial Statement Analysis (Wiley Finance) (Paperback)
I ordered this book without getting the first book that goes along with it. Make certain you do, this is just a workbook.
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3 of 3 people found the following review helpful:
5.0 out of 5 stars Best Book on Accounting, August 4, 2010
This review is from: Financial Statement Analysis Workbook: Step-by-Step Exercises and Tests to Help You Master Financial Statement Analysis (Wiley Finance) (Paperback)
This is without doubt the best book on financial statements I've ever read.

Every chapter of the book is a joy to read and clarifies a lot of advanced accounting ideas. However Chapter 8 "Applications and Limitations of EBITDA" I particularly enjoyed.

As a value oriented investor I prefer Free Cash Flow (rather than net income) as a measure of a companies true earnings.

Almost every accounting definition of FCF, praises the figure for how it demystifies net income. And yet most of these places define FCF as simply Net Income + Depreciation.

It is obvious simply adding back depreciation doesn't get rid of all GAAP manipulation.

This book is the first to thoroughly explain how changes in working capital must be monitored, since the bloating of working capital etc is a warning of GAAP chicanery.

(As the authors recommend, you do need an average level of accounting knowledge to follow this book. Absolute beginners will need to learn the basics first.)
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2 of 3 people found the following review helpful:
1.0 out of 5 stars Not recommended for Credit Analysts, March 25, 2008
Amazon Verified Purchase(What's this?)
This review is from: Financial Statement Analysis Workbook: Step-by-Step Exercises and Tests to Help You Master Financial Statement Analysis (Wiley Finance) (Paperback)
This book is very basic. The solutions book for this book is difficult to read and I did not go anywhere with it. It is probably much better for a general overview of financial shenanigans than anything. If you are a credit analyst then a much better book and much more in depth analysis (not accounting though) is Financial Statement Analysis by John J. Wild and others. Get the CD though if possible because it will help out greatly.
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Inside This Book (learn more)
First Sentence:
1. Three ways that corporations can use financial reporting to enhance their value are: Read the first page
Key Phrases - Statistically Improbable Phrases (SIPs): (learn more)
considering capital gains taxes, shares outstanding remains, equivalent profit margins, total acquisition price, figures below demonstrate, annual net earnings, embedded cost, times book value, annual sales growth, difference between the market value, financial statement analysis, extraordinary items, books bonds, coupon rate
Key Phrases - Capitalized Phrases (CAPs): (learn more)
Big Time, Small Change, Acquisition Scenario, Common Equity, Other Assets, Accounts Payable, Discontinued Operations, Gross Profit, Deferred Taxes, Notes Payable, Sale of Property, Accumulated Depreciation, Capital Surplus, Gross Plant, Net Plant, One Year, Operating Profit, Other Current Assets, Other Current Liabilities, Other Liabilities, Retained Earnings, Special Items, Total Current Assets, Total Current Liabilities, Total Income Taxes
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