Rating: 
Summary: GREAT BOOK BUT SOME PRIOR KNOWLEDGE WILL BE A PLUS!
Review: As a teacher of business management, I have found the one component of training that often frustrates most students is understanding and preparing a cash flow statement, profit and loss statement and a balance sheet. This book is written in a manner which certainly simplifies the understanding of the statements, but it would definitely be a plus if the reader had some prior knowledge of basic accounting principles.Financial statements are, for some, a challenge and one they can easily master with an understanding of basic accounting. For others with no prior knowledge of accounting, financial statements can be a nightmare. While this book will HELP TO SIMPLIFY the matter, without some previous experience the book may be quite confusing. First of all, one should at least be familiar with general accounting terminology. If you are, it will simplify this book enormously and make the learning experience more enjoyable. However, be prepared to sit down and devote your utmost concentration to the book. The subject matter is not one that can be mastered by skimming through the book in an evening or two. For many individuals, understanding financial statements is a course that takes months to completely understand. Some learn the process easily, others never master the challenge no matter how long or hard they try. The degree of success usually depends, in part, on apptitude, commitment and previous knowledge and experience of the reader.
Rating: 
Summary: Fantastic Clarity
Review: As an MBA student and a director of a small business, I doubt I have read a more useful book. Together with his 'Budgeting a la Carte', John Tracy cuts to the heart of company financials in a very clear and readable manner. I never thought I'd sit up and get excited about this subject, but these 2 books really shed light on the nuts and bolts of company finance without being long winded or dull. A 'must read' for anybody trying to get to grips with this subject and any small business owner not trained in accounting. Well done Mr Tracy!
Rating: 
Summary: Won't Help You Understand ENRON.
Review: Concepts such as pro forma statements and restatement of earnings just aren't addessed in this 1999 book. Time for another update!
Rating:
Summary: its all in the graphics
Review: i have a limited knowledge of accounts, & this book was absolutely brilliant in bringing me up to speed with the basic mechanics, rather than the whys of it all. The lucid manner in which the subject matter is explained hinges on the graphical layout employed allowing you to become involved in the process.
It does not set out to be exhaustive & other books should be used for in depth studies (eg identifying suspicious activities). It is however excellent in accomplishing precisely what it sets out to achieve and brings life to the numbers. All it needs now is a color edition, enabling more complex modelling.
Rating:
Summary: One of the most useful presentations of this topic ever.
Review: I have used this book to teach people with absolutely no training in accounting to understand financial statements. It appeals to non-quantitative and quantitative audiences alike. Non-quantitative audiences appreciate the plain language in which the book is written. Quantitative audiences immediately see how financial statements are laid out from a modelling point of view and invariably start coding up spreadsheets. People who need to explain anything related to financial statements should thoroughly read this book to see how clearly this topic can be treated. Another aspect of this book is the ratio of success-to-effort one gets out of reading this book. Professsor Tracy's experience and time spent thinking about this topic is clearly demonstrated by his ability to explain just enough to allow even the rank beginner to understand financial statements.
Rating:
Summary: Simple and to the point
Review: John Tracy does an excellent job of reviewing the basics of reading a financial report. His treatment of how the Balance Sheet, Income, and Cash Flow Statements are related to each other is simple and to the point. He also discusses how various depreciation and inventory methods impact the financial reports. The book is easy to read and well organized. Anyone who is new to financial reports or who wants to brush up on financial reports since their accounting days in college should find this book useful.
Rating:
Summary: Simple and to the point
Review: John Tracy does an excellent job of reviewing the basics of reading a financial report. His treatment of how the Balance Sheet, Income, and Cash Flow Statements are related to each other is simple and to the point. He also discusses how various depreciation and inventory methods impact the financial reports. The book is easy to read and well organized. Anyone who is new to financial reports or who wants to brush up on financial reports since their accounting days in college should find this book useful.
Rating: 
Summary: disappointed
Review: John Tracy does explain the 3 important "sheets" of a complete financial report. But he failed to help me understand what can be ascertained from more abstract concepts like cash flow or depreciation. His (lack of decent) explanation of why depreciation expense shows up in cost flow calculation appears to account twice for the same $ (once in profit and once in cash flow). His explanation of trying to use EPS & P/E ratio to determine the value of a privately held company share went no futher than this: "you could try to sell my your privately held share at any price you want, but I wouldn't have to accept it". That's not an explanation, just a statement of the obvious. The book needs more prose and examples of how the concept of a healthy (or unhealthy) company can be determined from a financial report. In fairness to Tracy, perhaps the latter half of the book addresses my needs, but I quit at page 76 (1/2 way through the book) after an inadequate explanation of depriciation expense as positive cash flow. I'll give another, more rigourous text a chance at that.
Rating:
Summary: disappointed
Review: John Tracy does explain the 3 important "sheets" of a complete financial report. But he failed to help me understand what can be ascertained from more abstract concepts like cash flow or depreciation. His (lack of decent) explanation of why depreciation expense shows up in cost flow calculation appears to account twice for the same $ (once in profit and once in cash flow). His explanation of trying to use EPS & P/E ratio to determine the value of a privately held company share went no futher than this: "you could try to sell my your privately held share at any price you want, but I wouldn't have to accept it". That's not an explanation, just a statement of the obvious. The book needs more prose and examples of how the concept of a healthy (or unhealthy) company can be determined from a financial report. In fairness to Tracy, perhaps the latter half of the book addresses my needs, but I quit at page 76 (1/2 way through the book) after an inadequate explanation of depriciation expense as positive cash flow. I'll give another, more rigourous text a chance at that.
Rating:
Summary: Indispensable
Review: John Tracy outdoes even Benjamin Graham's "The Interpretation of Financial Statements" with this work, which makes basic financial analysis accessible to anyone who wants to take the time to learn about it. Beginners should not expect to pick up everything this deceptively brief book has to offer on first reading. But the text's thoughtful layout fosters quicker learning than would otherwise be possible. This is an indispensable guide for anyone who wishes to buy securities but lacks formal training in financial analysis.
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