The investor's guide to understanding accounts - Robert Leach

Many investors ignore company accounts because they think they are too difficult. But, as the great investor Peter Lynch said "Investing without looking at the numbers is like playing bridge without looking at the cards." The mission of this book is to explain to ordinary investors, with no accounting knowledge, what to look for in a set of accounts and how to interpret what you find - so that you have an accurate 'health check' on a company in 10 simple steps. Robert Leach considers the entire subject from an investor's point of view, by asking - and then answering - the questions which matter most: 'Is the company growing?'; 'Are costs under control?'; 'Does it make a profit?'; 'How much cash does it have?'; 'Is its market value supported by assets?'; 'Is it using debt wisely?'; 'Are there any hidden nasties?'; 'Is management good enough?'; 'Can I expect a reliable income?'; 'Are there any threats to my interests?'. He also looks at the techniques which companies sometimes use to flatter their accounts, and shows how accounts for companies in different sectors have to be looked at differently.