The company that will be used for this assignment is Amazon.

A. Income Statement information from the most recent financial statements including*:

1. Total Revenues amount

2. Total Expenses amount

3.Total Net Income/Loss amount

B. Balance Sheet information from the most recent financial statements including*:

1. Total Assets amount

2. Total Liabilities amount

3. Total Equity amount

4. Write out the amounts as the accounting equation to see if assets, liabilities, and equity balance

Instructions to find the financial statements:

Go to SEC.gov. Click on Filings on the tab at the top of the page. Go to Company Filings and enter AMZN in the company search. Find the most recent 10-K in the Selected Filings, which is the companys annual financial statement filing.

Do not use an analyst website such as Bloomberg, Yahoo, etc. Go directly to the companys website!

C. Review the income statement and balance sheet again and determine which of the income statement or balance sheet items may have been impacted by adjusting entries. Examples of the following items are on the balance would require an adjusting entry: Prepaid Expenses, Long Term Debt, Fixed Assets (Building, Equipment). List one of the items found.

D. Look for these amounts on the financial statements:

1.. Inventory amount

2. Cost of Goods Sold/Cost of Sales amount

E. Information for final analysis :

1. Net income as % of Sales

2. Are sales trending up of down from previous year?

3. Read the Managements Discussion and Analysis. State one thing you found interesting or relevant to how the companys outlook will be.

4. Look thru the notes to the financial statement and state one thing you found interesting (maybe: acquisitions/legal proceedings)

5. Look up what the companys stock is trading at state the date and the stock price you located. Yahoo Finance is a good place to find the stock price.

6. State if you would feel most comfortable investing in this company and why.

7. Find a current news topic related to the company and summarize it. (e.g. The company has had auditing issues or restatements, the company has liquidity issues, the company has higher/lower than expected earnings, etc.). Cite your work.

8. Ethics in accounting is a big part of the trust instilled in the financial information. If financials are not accurate, who are the possible losers?