Raytheon Companys 2018 Form 10-K states that sales to the U.S. government comprise 68% of its 2018
Question:
Raytheon Company’s 2018 Form 10-K states that sales to the U.S. government comprise 68% of its 2018 total net sales and sales to foreign governments through the U.S. government comprise 13% of its 2018 total net sales.
Required:
1. Why does the SEC require companies like Raytheon Company to alert financial statement readers to the existence of major customers?
2. How might this information be of use to a financial analyst?
3. Why might these substantial customers want to monitor the financial performance and health of Raytheon? What specific information about Raytheon would be of most interest to the customers?
4. Why might Raytheon want to monitor the financial health and policies of these customers? What information about the customers would be of most interest to Raytheon?
Step by Step Answer:
Financial Reporting And Analysis
ISBN: 9781260247848
8th Edition
Authors: Lawrence Revsine, Daniel Collins, Bruce Johnson, Fred Mittelstaedt, Leonard Soffer