Question

Which of the following items will be found in a corporate annual report?

1) Company budgets
2) Notes to the financial statement
3) Selected financial data from competitor companies
4) Management's statement that the auditors are responsible for the financial statements

Answer 1

A corporate annual report typically includes company budgets, notes to the financial statements, selected financial data from competitor companies, and management's statement about auditors' responsibility.

Step-by-step explanation:

The items that can be found in a corporate annual report include:

1. Company budgets: This provides information about the financial plans and goals of the company for the upcoming year.
2. Notes to the financial statements: These provide additional explanations and details about the financial information presented in the report.
3. Selected financial data from competitor companies: This allows for comparison and benchmarking against similar companies in the industry.
4. Management's statement that the auditors are responsible for the financial statements: This confirms that the financial statements have been audited by a third-party and provides assurance to the readers of the report.