R15：Introduction to Financial Statement Analysis
1、Roles of financial reporting and financial statement analysis
1.1 The role of financial statements：财务报表的作用
To provide information about a company’s performance, financial position, and changes in financial position that is useful to a wide range of users in making economic decisions.
提供有关公司业绩、财务状况和财务状况变化的信息，这些信息有助于广大用户做出经济决策
position：头寸View Code
1.2 The role of financial statement analysis：财务报表分析的作用
To evaluate the past，current，and potential performance and financial position of a company for the purpose of making economic decisions.
评估公司过去、现在和潜在的业绩和财务状况，以便作出经济决策View Code
2、Primary financial statements and other information sources
2.1 Financial Statements and Supplementary Information
（1）Financial statements
<1> Balance Sheet：资产负债表（静态数据），又叫 Statement of Financial Position，Statement of Financial Condition
Presents a company's financial position at a specific point in time. 显示公司在特定时间点的财务状况
Assets：The resources controlled by the firm
Liabilities：Obligations to lenders and other creditors
Owners' equity：It is the owners’ residual interest in (residual claim) the company’s assets after deducting its liabilities（sometimes called “net assets”）
residual interest / residual claim：剩余权益
会计恒等式：Assets = Liabilities + Owners' equity
<2> Statement of comprehensive income：综合收益表（动态数据），展示了企业一段时间内赚钱的能力
Includes all items that impact owners' equity but are not the result of transactions with shareowners.
equity 包括：
1、与股东相关的：例如股东增资撤资等
2、与经营活动相关的
综合收益表中只包括 owners' equity 中与经营活动相关的部分View Code
公式：Comprehensive Income = Net income + Other comprehensive income
Net income：实打实的收益
Other comprehensive income：虚无缥缈的收益
例如有跨国业务，其中汇率波动之后导致收益不平，这时就通过人为通过此项使之平衡View Code
Can be presented as:
1、single statement of comprehensive income
2、Two statements: An income statement and a statement of comprehensive income that begins with profit or loss from the income statement
Income Statement：利润表（I/S），展示了企业实打实的赚钱能力
Also known as the "statement of operations", or the "profit and loss(P&L) statement, presents information on the financial performance of a company's business activities over a period of time.
也称为“经营报表”或“损益（P&L）表”，提供了一段时间内公司经营活动的财务业绩信息。
Other Comprehensive Income：其他综合收益表（OCI）
<3> Statement of changes in equity：股东权益变动表（动态数据）
Primarily serves to report changes in the owners'investment in the business time. 主要用于报告营业时间内所有者投资的变动
Also called the "statement of changes in owners' equity" or "statement of changes in shareholders' equity"
Paid-in capital：股东自掏腰包投入的资本金
Retained earnings：留存收益（R/E），经过企业日常经营积攒下来的钱，净利润减去给股东的分红之后剩下的部分
Accumulated OCI：累计的其他综合收益，每年的虚无缥缈的收益OCI的累计
<4> Statement of cash flows：现金流量表（动态数据），例如通过赊销的方法出售一批货物，利润表中会立即记入一笔收入，但是现金流量表中则没有记入这笔现金流
Disclosing the sources and uses of cash helps creditors, investors, and other statement users evaluate the company's liquidity, solvency, and financial flexibility.
Financial flexibility is the ability of the company to react and adapt to financial adversity and opportunities.
例如突然有一个好的投资项目，是否可以立刻拿出钱来进行投资View Code
Operating cash flows：经营性现金流（CFO），衡量公司正常业务运营产生的现金量的指标。例如：销售货物拿到一笔钱，经营性现金流的流入，购买原材料花费一笔钱，经营性现金流的流出
A measure of the amount of cash generated by a company's normal business operations.
Investing cash flows：投资性现金流（CFI），与收购和处置长期资产有关的活动产生的现金流，如财产和设备。例如：购置厂房和机器设备，投资性现金流的流出，处置老旧机器设备，投资性现金流的流入
Associated with the acquisition and disposal of long-term assets, such as property and equipment.
Financing cash flows：融资性现金流（CFF），与获取或偿还用于业务有关的资本。例如：企业发行债券融资，投资性现金流的流入，发行债券到期偿还，投资性现金流的流出
Relate to obtaining or repaying capital to be used in the business.
<5> Notes：附注，包括4张表中数据的计算信息和其他需要批注的一些内容，也要被审计
Also referred to also footnotes, that accompany the four financial statements and are an integral part of the complete set of financial statements.
Disclose information about the accounting policies, methods and estimates used to prepare the financial statements.
也指四份财务报表所附的脚注，是整套财务报表的组成部分。
披露用于编制财务报表的会计政策、方法和估计的信息。
例如：使用的是国际会计准则还是美国会计准则，用的是直线折旧法还是加速折旧法，预估厂房大概的使用年限等。
In addition, note disclosures include information about the following：
- Financial instruments and risks arising from financial instruments
- Commitments and contingencies
- Legal proceedings
- Related-party transactions
- Subsequent events (events that occur after the balance sheet)
- Business acquisitions and disposals
- Operating segments' performance
此外，附注披露包括以下信息：
- 金融工具和金融工具产生的风险
- 担保合约和或有负债
- 法律诉讼
- 关联方交易
- 后续事项（资产负债表之后发生的事项）
- 业务收购和处置
- 不同业务线的业绩View Code
（2）Additional information
<1> Management's discussion and analysis：管理层的讨论与分析（MD&A）
A variety of names: management reporting, management commentary, and management's discussion and analysis（MD&A）.
Public companies typically include a section in their annual reports where management discusses a variety of issues, including the nature of the business, past results, and future outlook.
Information included in the management commentary is typically unaudited.
各种名称：管理报告、管理评论和管理层讨论与分析（MD&A）。
上市公司通常在其年度报告中包含一个部分，管理层在该部分讨论各种问题，包括业务性质、过去业绩和未来前景。
不需要审计。
<2> An external auditor's report：外部审计师出具的报告
Financial statements presented in companies' annual reports are generally required to be audited( examined) by an independent accounting firm in accordance with specified auditing standards. The independent auditor then provides a written opinion on the financial statements. This opinion is referred to as the audit report.
由独立的外部会计机构根据一定的标准对公司全年的财务报告进行审计。
Auditors provides reasonable assurance that the financial statements are fairly presented, meaning that there is a high probability that the audited financial statements are free from material error, fraud, or illegal acts that have a direct effect on the financial statements.
只能保证财务报告大概率没有造假和欺诈，不能完全保证。
Auditor's opinion：
- Unqualified audit opinion: Referred to as an "unmodified" or a "clean" opinion. States that the financial statements give a "true and fair view" or are "fairly presented" in accordance with applicable standards.（Analysts would like to see）
- Qualified audit opinion: There is some scope limitation or exception to accounting standards.
- Adverse audit opinion: When an auditor determines that the financial statements materially depart from accounting standards and are not fairly presented.
- Disclaimer of opinion: Occurs when, for some reason, the auditors are unable to issue an opinion.（无法发表意见：例如库存不让审计人员查看的情况）
Internal control systems：
- In U.S., under the Sarbanes-Oxley Act, the auditors must also express an opinion on the company's internal control systems.
在美国，根据塞班斯法案，公司的内控系统同样要被审计。
- The internal control system is the company's internal system that is designed to ensure that the company's process for generating financial reports is sound.
2.2 Other Sources of Information
（1）Proxy statement：代理权说明书
Proxy statement are distributed to shareholders about matters that are to be put to a vote at the annual(or special) meeting of shareholders.
代理权说明书分发给股东，内容涉及将在年度（或特别）股东大会上进行表决的事项。
Include：
Management and director compensation
- Company stock performance
- Potential conflicts of interest that may exist between management, the board and shareholders
包括：
- 管理层和董事薪酬
- 公司股票表现
- 管理层、董事会和股东之间可能存在的潜在利益冲突
（2）Interim reports：期中报告
- Provided by the company either semiannually or quarterly.
not audited.
updated
- 由公司每半年或每季度提供。
- 列报四份主要财务报表和简明附注，不需要经过审计。
- 提供上一年度以来公司业绩和财务状况的最新信息。
（3）Websites, press releases, conference calls：网站、新闻稿、电话会议
One type of press release is the periodic earnings announcement.
新闻发布的一种分析师认为比较重要的形式是定期发布收益公告。
（4）External sources：外部信息来源
Analysts should review all these company sources of information as well as information from external sources regarding the economy, the industry, the company, and peer( comparable) companies.
分析师应审查所有这些公司信息来源以及来自外部来源的有关经济、行业、公司和同行（可比）公司的信息。
3、Financial statement analysis framework
Summary：
