In this new edition of Understanding Financial Statements, Aileen and I continue with our objective of taking readers behind the numbers, dazzling presentations, and slick brand marketing of corporate annual reports to assess the reality of a firm’s financial condition an performance. Based on the dramatic events that have unfolded in financial markets and the accounting environment as well as extensive feedback from our readers, faculty, students, practitioners, and many others who use the book to develop a better understanding of financial statement analysis, we have introduced some significant new elements in this tenth edition.

Chapter 1 Financial Statements: An Overview
Chapter 2 The Balance Sheet
Chapter 3 Income Statement and Statement of Stockholders’ Equity
Chapter 3A A Guide to Earnings Quality
Chapter 4 Statement of Cash Flows
Chapter 4A Statement of Cash Flows – Direct Method
Chapter 5 The Analysis of Financial Statements
Chapter 5A The Analysis of Segmental Data