Welcome to the eleventh edition of "Financial Statement Analysis" . This book is the product of extensive market surveys, chapter reviews, and correspondence with instructors and students. I am delighted that an overwhelming number of instructors, students, practitioners, and organizations agree with my approach to analysis of instructors, students, practitioners, and organizations agree with my approach to analysis of financial statements.

    This book forges a unique path in financial statement analysis, one that responds to the requests and demands of modern day analysts. From the outset, a main goal in writing this book has been to respond to these needs by providing the most progressive, accessible, current, and user driven textbook in the field. I am pleased that the book's reception in the United States and across the world has exceeded expectations.

    Analysis of financial statements is exciting and dynamic. This book reveals keys to effective analysis to give readers a competitive advantage in an increasingly competitive marketplace. I know financial statements are relevant to the decisions of many individuals including investors, creditors, consultants, managers, auditors, directors, analysts, regulators,and employees.

    This book equips these individuals with the analytical skills necessary to succeed in business. Yet experience in teaching this material tells us that to engage readers we must demonstrate the relevance of analysis. This book continually demonstrates that relevance with applications to real world companies. The book aims to benefit a broad readership, ranging from those with a simple curiosity in financial markets to those with years of experience in accounting and finance.

Chapter 1 Overview of Financial Statement Analysis
Chapter 2 Financial Reporting and Analysis
Chapter 3 Analyzing Financing Activities
Chapter 4 Analyzing Investing Activities
Chapter 5 Analyzing Investing Activities : Intercorporate Investments
Chapter 6 Analyzing Operating Activities
Chapter 7 Cash Flow Analysis
Chapter 8 Return on Invested Capital and Profitability Analysis
Chapter 9 Prospective Analysis
Chapter 10 Credit Analysis
Chapter 11 Equity Analysis and Valuation

- Appendix
- Interest Tables
- References
- Index