WSP ACCOUNTING STUDY GUIDE 2 | EXAM
QUESTIONS WITH ANSWERS VERIFIED 100%
CORRECT|
10-K (Annual filing) - ✔✔At end of fiscal year, publicly traded companies must file a
10-k which is thorough overview of their businesses and finances as well as their
financial statements, 60-90 days within year end, has md&a section on management
commentary
10-Q - ✔✔includes financial statements and non-financial data, 40-45 days after
quarter end, these are not required to be audited whereas 10-Ks are
8-K - ✔✔required filing any time a company undergoes or announces a materially
significant event, earnings press release, an acquisition, disposal of assets, etc.
!0-Q v. 10-K - ✔✔1. Both: include footnotes/management commentary on state of
business, but 10-k more detailed
2. 10-k will usually contain more details regarding stock options, fixed/intangible assets,
debt, and future expectations and include extensive management, as well as
commentary on the state of the business (MD&A)
3. 10-k reports are audited by an independent firm while 10-q filings are reviewed by a
CPA
Form 14-A - ✔✔Proxy statement, is required filing prior to companies' annual
shareholder meetings.
1. contains detailed information about top officers and their compensations
2. the form often solicits shareholder votes (proxies) for Board nominees and other
important matters
, Form S-1 - ✔✔Registration filed by a company when it decides to go public via IPO,
includes the prospectus: company document outlining the operations to help investors
make informed decision about investing
Form S-2 / S-3 - ✔✔Required filings for secondary offerings
Form S-4 - ✔✔filed to register a securities offering in certain mergers or
reogranizations
Form 20-F - ✔✔annual report of foreign issuers of securities trading in the US
10K Outline - ✔✔Part 1. General info about the business: Business, Risk Factors,
Unresolved Staff Comments, Properties, Legal Proceedings, Mine Safety Disclosures
Part 2: Management discussion and analysis, financial statements, and footnotes
Part 3/4: Executive compensation and audits
Part 1 give qualitative sense of business, look to part 2 for quantitiative
Income Statement - ✔✔Is a financial report that depicts the operating performance
of a company over a specific period of time, aka consolidated statement of earnings,
P&L statement, statement of revenues and expenses
Importance: facilitates the analysis of a company's growth prospects, cost structure, and
profitability. Analysts use the income statement to identify the components and sources
of net earnings
Major components of income statement - ✔✔1. Net Revenues
QUESTIONS WITH ANSWERS VERIFIED 100%
CORRECT|
10-K (Annual filing) - ✔✔At end of fiscal year, publicly traded companies must file a
10-k which is thorough overview of their businesses and finances as well as their
financial statements, 60-90 days within year end, has md&a section on management
commentary
10-Q - ✔✔includes financial statements and non-financial data, 40-45 days after
quarter end, these are not required to be audited whereas 10-Ks are
8-K - ✔✔required filing any time a company undergoes or announces a materially
significant event, earnings press release, an acquisition, disposal of assets, etc.
!0-Q v. 10-K - ✔✔1. Both: include footnotes/management commentary on state of
business, but 10-k more detailed
2. 10-k will usually contain more details regarding stock options, fixed/intangible assets,
debt, and future expectations and include extensive management, as well as
commentary on the state of the business (MD&A)
3. 10-k reports are audited by an independent firm while 10-q filings are reviewed by a
CPA
Form 14-A - ✔✔Proxy statement, is required filing prior to companies' annual
shareholder meetings.
1. contains detailed information about top officers and their compensations
2. the form often solicits shareholder votes (proxies) for Board nominees and other
important matters
, Form S-1 - ✔✔Registration filed by a company when it decides to go public via IPO,
includes the prospectus: company document outlining the operations to help investors
make informed decision about investing
Form S-2 / S-3 - ✔✔Required filings for secondary offerings
Form S-4 - ✔✔filed to register a securities offering in certain mergers or
reogranizations
Form 20-F - ✔✔annual report of foreign issuers of securities trading in the US
10K Outline - ✔✔Part 1. General info about the business: Business, Risk Factors,
Unresolved Staff Comments, Properties, Legal Proceedings, Mine Safety Disclosures
Part 2: Management discussion and analysis, financial statements, and footnotes
Part 3/4: Executive compensation and audits
Part 1 give qualitative sense of business, look to part 2 for quantitiative
Income Statement - ✔✔Is a financial report that depicts the operating performance
of a company over a specific period of time, aka consolidated statement of earnings,
P&L statement, statement of revenues and expenses
Importance: facilitates the analysis of a company's growth prospects, cost structure, and
profitability. Analysts use the income statement to identify the components and sources
of net earnings
Major components of income statement - ✔✔1. Net Revenues
