title: The Basics of Understanding Financial Statements: Learn How to Read Financial Statements by Understanding the Balance Sheet, the Income Statement, and the Cash Flow Statement
author:  Mariusz Skonieczny 
description: Accounting is the language of business, and financial statements are the way that managers of public companies communicate the successes and failures of their enterprises to shareholders. But you don't have to be an accountant to be a successful investor. What you need to know is how to read and understand the balance sheet, income statement and cash flow statement. The Basics of Understanding Financial Statements is written specifically for stock market investors to help you: 1) understand the language of business, 2) read the balance sheet, income statement and cash flow statement, 3) tell the difference between a successful and unsuccessful business operation by digging through the numbers, 4) be aware of how managers may manipulate numbers to inflate earnings, and 5) become a more successful stock market investor ... and much more.
zlib_text: Contents
  1. Learning Outcome Statements (LOS)
  2. Reading 19: Introduction to Financial Statement Analysis
  1. Exam Focus
  2. Module 19.1: Financial Statement Roles
  3. Module 19.2: Footnotes, Audit, and Analysis
  4. Key Concepts
  5. Answer Key for Module Quizzes
  3. Reading 20: Financial Reporting Standards
  1. Exam Focus
  2. Module 20.1: Standards Overview
  3. Module 20.2: Financial Reporting Framework
  4. Key Concepts
  5. Answer Key for Module Quizzes
  4. Reading 21: Understanding Income Statements
  1. Exam Focus
  2. Module 21.1: Income Statement Overview
  3. Module 21.2: Revenue Recognition
  4. Module 21.3: Expense Recognition
  5. Module 21.4: EPS and Dilutive Securities
  6. Module 21.5: Common-Size Income Statements
  7. Key Concepts
  8. Answer Key for Module Quizzes
  5. Reading 22: Understanding Balance Sheets
  1. Exam Focus
  2. Module 22.1: Balance Sheet Introduction
  3. Module 22.2: Assets and Liabilities
  4. Module 22.3: Current Assets and Liabilities
  5. Module 22.4: Noncurrent Assets and Liabilities
  6.