ASSIGNMENT 2 OVERVIEW OF ANNUAL REPORT Completed byReviewed byAnnual Report Date: _______________________ 1. THE ANNUAL REPORT WILL CONTAIN SEVERAL SECTIONS: a. FINANCIAL HIGHLIGHTS. This section provides a summary of selected financial results over a number of years. You may find two schedules providing highlights: one brief summary near the front of the annual report and a more detailed summary in the financial section.This second schedule may be called Five-Year Summary of Selected Financial Data.Note its page number here. Page(s) ______ b. THE CHAIRMAN’S LETTER. This letter provides the chairman’s overview of the past year and developments which will affect the next year. You will review this letter below. Page(s) ______ c. THE COMPANY, ITS PRODUCTS, ITS EMPLOYEES. This section may contain a number of color photographs and will highlight the products and accomplishments of the company. Pages_______ d. MANAGEMENT DISCUSSION AND ANALYSIS. This section discusses operating results, industries in which the company operates, financing and investing activities, significant events, trends and developments. Page(s)________ e. THE FINANCIAL STATEMENTS AND NOTES TO THE FINANCIAL STATEMENTS.This section contains the four financial statements introduced in chapter 1. The accompanying notes, as indicated at the bottom of each of the above statements, are an integral part of the financial statements. The financial statements cannot be understood without reference to the notes. The financial statements and accompanying notes will be the focus of your Annual Report Project.Income Statement Page______Balance Sheet Page________Statement of Stockholder’s Equity Page______Statement of Cash Flows Page______ Notes to the financial statements:Summary of significant accounting policies Note #_____ Page_______Inventories Note #_____ Page_______Plant assets Note #_____ Page_______Long-term debt Note #_____ Page_______Income taxes Note #_____ Page_______Employee benefit plans Note #_____ Page_______Commitments and contingencies Note #_____ Page_______ f. MANAGEMENT REPORT ON INTERNAL CONTROL Page_______ g. THE INDEPENDENT AUDITOR’S REPORT:REPORT ON INTERNAL CONTROL Page_______ REFERENCE https://www.microsoft.com/en-us/Investor/annual-reports.aspx Accounting Business Financial Accounting AC 116
