Jerry J. Weygandt PhD CPA - Accounting Principles

Once each year, a corporation communicates to its stockholders and other interested parties by issuing a complete set of audited financial statements. The annual report, as this communication is called, summarizes the financial results of the company's operations for the year and its plans for the future. Many annual reports are attractive, multicolored, glossy public relations pieces, containing pictures of corporate officers and directors as well as photos and descriptions of new products and new buildings. Yet the basic function of every annual report is to report financial information, almost all of which is a product of the corporation's accounting system.

The content and organization of corporate annual reports have become fairly standardized. Excluding the public relations part of the report (pictures, products, etc.), the following are the traditional financial portions of the annual report:

• Financial Highlights
• Letter to the Stockholders
• Management's Discussion and Analysis
• Financial Statements
• Notes to the Financial Statements
• Management's Responsibility for Financial Reporting
• Management's Report on Internal Control over Financial Reporting
• Report of Independent Registered Public Accounting Firm
• Selected Financial Data

The official SEC filing of the annual report is called a Form 10-K, which often omits the public relations pieces found in most standard annual reports. On the following pages, we present Apple Inc.'s financial statements taken from the company's 2015 Form 10-K. The complete Form 10-K, including notes to the financial statements, is available at the companys website.

PepsiCo, Inc. is a world leader in convenient snacks, foods, and beverages. The following are PepsiCos financial statements as presented in its 2015 annual report. The complete annual report, including notes to the financial statements, is available at the companys website.

The Coca-Cola Company is a global leader in the beverage industry. It offers hundreds of brands, including soft drinks, fruit juices, sports drinks and other beverages in more than 200 countries. The following are Coca-Cola's financial statements as presented in its 2015 annual report. The complete annual report, including notes to the financial statements, is available at the company's website.

Amazon.com, Inc. is the world's largest online retailer. It also produces consumer electronicsnotably the Kindle e-book reader and the Kindle Fire Tablet computerand is a major provider of cloud computing services. The following are Amazon's financial statements as presented in the company's 2015 annual report. The complete annual report, including notes to the financial statements, is available at the company's website.

The following are Wal-Mart Stores, Inc.'s financial statements as presented in the company's 2016 annual report. The complete annual report, including notes to the financial statements, is available at the company's website.

Louis Vuitton is a French company and is one of the leading international fashion houses in the world. Louis Vuitton has been named the world's most valuable luxury brand. Note that its financial statements are IFRS-based and are presented in euros (). The complete financial statements are available at the company's website.