Financial Statements

A solid foundation is critical to understanding concepts. So you'd think most books would spend a lot of time ensuring and clarifying the basics, right? Wrong! Simply not true! Most of the accounting/finance books just don't get into clarifying the very basics - the confusing array of terms used, how they fit together, what they actually mean in a realworld setting, etc. This book - a must on every managers shelf - adds value by providing clear and consise definitions and relates them visually. The chapter on connections ties a lot of information together with such ease. Above all the step by step examples go a long long way into clarfying any remaining confusion you'd have. Its very easy to read. You'd probably finish it over a weekend. So its tremendous bang for buck. Clearly the first introductory book one should read. There are plenty of good books for the next level (IMHO). **_Simply go get it - read it. Enjoy the clarity in your decision making. Highly recommended._** Here is a list of books that might also help. Introductory level: 1. Financial statements (Thomas Ittelson, this book) 2. How to use financial statements: A guide to understanding the numbers (James Bandler) 3. How to read a financial report: wringing vital signs out of numbers (John A. Tracy) Next Level: 4. Financial Statement Analysis: the investors self study to interpretting & analyzing financial statements, revised edition (Charles J. Woelfel) 5. Analysis For Financial Management (Robert C. Higgins) - This is one excellent book. 6. Techniques Of Financial Analysis: A Modern Approach (Eric A. Helfert) 7. Finance & Accounting for Nonfinancial Managers (Steven A. Finkler) MBA Level: 7. The Analysis And Use Of Financial Statements (Gerald White, Sondhi, et. al) - dense reading (plus the plain format of this version of the book is sure to make you fall asleep. Hats off to you if you can read this book cover to cover. :).) 8. Also Corporate Finance: theory and practice (Damodaran) has a very good advanced level introductory chapter. Pick it up at a library and ... If you had to buy 1 book: I'd recommend - #1 above. If you could buy 2 books (over time): I'd recommend - #1 and #5 above. If you could buy 3 books (for an in depth managerial understanding): I'd recommend - #1, #5 and #6 above. #7 - has a decent cd of spreadsheets for ready use (proforma cash flows, ledgers, etc; very handy) Good luck!

Wow, what a great book! I am a technical professional enrolled in a graduate business degree program, and until now the plethora of financial and accounting terminology and rules has been bewildering for me. That is no longer true after buying this book. I have primarily used it as a reference book, and without fail any explanation I have needed has been easy to find, clear and concise. I am no longer in the financially confused majority, largely thanks to this book. The author's education is in biochemistry (as is my undergraduate education), and because he originally came from the hard sciences where clarity and accuracy are valued above all else he was better able to be clear and easy to understand in comparison to many business school authors who seem to thrive on jargon and platitudes. This is a great book to have on the reference shelf. If you are involved with business finance or investment analysis it is simply the best book available on the subject and should be considered indispensable!

This is a wonderfully clear and concise introduction to the interpretation of financial statements such as 10-Qs. Read this if you are not a CPA or MBA, but must "get a handle" on Balance Sheets, Income Statements and Cash Flow Statements. This should be the first book you buy for this purpose-- print out your company's 10-Q and have it in hand.