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The Agile Manager's Guide to Understanding Financial Statements
The Agile Manager’s Guide To
UNDERSTANDING
FINANCIAL STATEMENTS
The Agile Manager’s Guide To
UNDERSTANDING
FINANCIAL STATEMENTS
By Joseph T. Straub
Velocity Business Publishing
Bristol, Vermont USA
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For Pat and Stacey
Velocity Business Publishing publishes authoritative works of the
highest quality. It is not, however, in the business of offering profes-
sional, legal, or accounting advice. Each company has its own cir-
cumstances and needs, and state and national laws may differ with
respect to issues affecting you. If you need legal or other advice
pertaining to your situation, secure the services of a professional.
Copyright © 1997 by Joseph T. Straub
All Rights Reserved
Printed in the United States of America
Library of Congress Catalog Card Number 97-90831
ISBN 0-9659193-5-8
Title page illustration by Elayne Sears
Second printing, April 1999
If you’d like additional copies of this book or a catalog of
books in the Agile Manager Series™, please get in touch.
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Write us:
Velocity Business Publishing, Inc.
15 Main Street
Bristol, VT 05443 USA
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Call us:
1-888-805-8600 in North America (toll-free)
1-802-453-6669 from all other countries
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Fax us:
1-802-453-2164
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E-mail us:
action@agilemanager.com
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Visit our Web site:
www.agilemanager.com
The Web site contains much of interest to business people—tips
and techniques, business news, links to valuable sites, and instant
downloads of titles in the Agile Manager Series.
C ontents
1. Financial Statements:
Who Needs Them ........................................................... 9
4. Understand the Cash-Flow Statement .......................... 37
5. Financial Analysis:
Number-Crunching for Profit ...................................... 45
6. Inventory Valuation
(Or, What’s It Worth?) ................................................... 67
7. Depreciation.................................................................. 77
Index .................................................................................. 93
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