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NO.
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DISCLOSURE
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I.
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Background
Information:
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i.
|
Statement of corporate goals or
objectives
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ii.
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Barriers to entry are discussed
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iii.
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Competitive environment
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iv.
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General description of the business
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v.
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Principle products
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vi.
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Principle markets
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II.
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Ten-or-Five-year
Summary of Historical Results:
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i.
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Return-on-Assets or sufficient
information to compute return-on-assets (i.e., net income, tax rate, interest
expense and total assets)
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ii.
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Net profit margin or sufficient
information to compute net profit margin (i.e., net income, tax rate,
interest expense and sales)
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iii.
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Asset turnover or sufficient information
to compute asset turnover (i.e., sales and total assets)
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iv.
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Return-on-Equity or sufficient
information to compute return-on-equity (i.e., net income and stockholders’
equity)
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v.
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Summary of sales and net income most
recent eight quarters
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III.
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Key
Non-Financial Statistics:
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i.
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Number of employees
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ii.
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Average compensation per employee
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iii.
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Order backlog
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iv.
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Percentage of Sales in products
designed in the last five years
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v.
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Market shares
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vi.
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Units sold
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vii.
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Unit selling price
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viii.
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Growth in units sold
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IV.
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Projected
Information:
|
|
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i.
|
Forecasted market share
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ii.
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Cash flow forecast
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iii.
|
Capital expenditures and/or R&D
expenditure forecast
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iv.
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Profit forecast
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v.
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Sales forecast
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V.
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Management
Discussion and Analysis:
|
|
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i.
|
Change in sales
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|
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ii.
|
Change in operating income
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|
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iii.
|
Change in cost of goods sold
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|
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iv.
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Change in gross profit
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|
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v.
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Change in selling and administrative
expenses
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vi.
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Change in interest expense or interest
income
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vii.
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Change in net income
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viii.
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Change in inventory
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ix.
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Change in account receivable
|
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x.
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Change in capital expenditure of
R&D
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xi.
|
Change in market shares
|
|
Botosan, C.A.1997. Disclosure Level and The Cost of Equity Capital. The Accounting Review Vol.7, No.3, July 1997 : 323-349.
