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Essay How to Read 10k Report

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Assignment 1
Instructions:
Please select a company that your group would like to analyze throughout the semester.
The goals of the assignment are (1) to help you read through the 10K/Q reports issued by US corporations in accordance with SEC regulations and (2) to help familiarize yourselves with the company you plan to study this semester. 10K/Q reports can be found on a company’s website, or on EDGAR, located at www.sec.gov. However, EDGAR can also be accessed through Mergentonline available through Hofstra’s electronic library. You might have to use other sources in the Hofstra Electronic Library to complete a few of these items. You can also go to the company’s website for information.
Answer the following questions about your …show more content…

(on price or quality) b. Is the product unique? c. Is the market competitive? (many firms in the market, barriers to entry, etc.) d. Does the company have patent protection for its product? e. Is the company innovative? Or, does it follow other companies? 9. What group is this company’s primary customer? 10. What does management believe are the key risks that the company faces in the future? in (see for example, international risks, business risks, currency risks) 11. How does management plan to handle any risks? 12. Identify the top executives in the company and their compensation, including stock based or other compensation. 13. Does the company have an ethical code under which it operates? What is it?

14. Does the company face any legal constraints in its operating environment, either in the US or internationally? These might include: product and price regulations, labor laws, consumer regulations, environmental regulations, tax laws, anti-trust laws. How does the company handle these constraints? 15. Does the company utilize hedging to offset the risk of any of its positions? Does it use hedging to offset financial risk or inventory risk?
Refer to the footnotes to the Financial Statements to answer the following questions:
From the Balance Sheet: 1. How does the company define “cash equivalents”? 2. What method(s) does the company use to classify its inventory? How will

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