Professor: Evelyn Hume
Intermediate Accounting I
Who are the firm’s auditors? Do they provide a clean opinion on the financial statements?
Wal-Mart is audited by Ernst & Young LLP. Ernst & Young’s believe the financial position of Wal-Mart is clearly depicted in their financial statements and in tune with the U.S. generally accepted accounting principles. Have there been any subsequent events, errors and irregularities, illegal acts, or related-party transactions that have a material effect on the financial statements?
Wal-Mart subsequent events on March 4, 2010 the company’s Board of Directors approved an increase in the annual dividend to 1.21 a share. Describe the trend in total assets and total liabilities for the years presented.
Wal-Mart’s total assets increased by 7,277 million from 2009 to 2010. Similarly, the total liabilities of Wal-Mart have increased 1,427 million from 2009 to 2010. What are the company’s three largest assets for the most recent year presented?
Wal-Mart’s three largest assets for 2010 were inventories, buildings and improvements, and fixtures and equipment. What are the company’s three largest liabilities for the most recent year presented?
Wal-Mart’s three largest liabilities for 2010 were accounts payable, accrued liabilities, and long term debt. What types of stock does the company have? How many outstanding shares are there for each type of stock for the most recent year presented?
Wal-Mart has preferred and common stock options. In 2010 there were no outstanding shares of preferred stock. Also, there were 378 million outstanding shares of common stock in 2010. Does the company use the single-step income statement, multiple-step income statement, or a variation of both?
Wal-Mart uses the multiple-step income statement.
Does the income statement contain any separately reported items, including discontinued operations or...