FINANCIAL REPORTING PROJECT
Introduction and purpose
The financial reporting project (FRP) for this term requires that you explore and analyze the annual report and other financial information for two major corporations. This semester we will focus on the 2016 annual reports for Abercrombie & Fitch Co. and American Eagle Outfitters, Inc. companies.
The main purpose of the FRP is for you to be exposed to “live” financial information in its most accessible formats. You will immediately notice that the terminology and presentation styles vary from company to company. You will have an opportunity to recognize, utilize, and apply the accounting concepts you have learned in class and from what you have read from your book. A second purpose of the FRP is to give you the opportunity to explore some of the financial and business resources that are readily available to the public. Because of the nature of this course, the FRP has been designed to take advantage of Internet resources.
You can try and request some copies of printed annual reports to get a sense of what the printed material looks like. Annual reports have personalities- and I think that shows through more clearly in the printed material. A company may mail you a copy, free of charge (not as common today, since you can get it online). Use the resources discussed below to get the investor relations telephone number or email address. You may want to request hard copies- they are not necessary but can be very convenient.
How to do well… START EARLY!! This way you can ask questions when you are unsure. The answers are either right or wrong on this assignment. A poor grade will surely hurt your overall FRP total. The First FRP is worth 40 points, the second is 60 for a total of 100 points and 5% of your grade!!
The company websites are listed below.
Please note- NOTHING that is required for this project requires that you pay money or join anything. You are in the wrong place or looking for the wrong thing if you need a credit card!!!
As you access different resources, you will often need to search for a particular company. Usually it is easiest to search by “stock ticker.” A stock ticker is an abbreviation used by stock exchanges for the company. It is a unique identifier whereas the name may be similar to other entities. The tickers can usually be found easily at one of the research sites listed below. Abercrombie & Fitch Co is “ANF” and American Eagle Outfitters, Inc. is “AEO”.
The worksheets for the project are based on these annual reports and, where specifically prompted, other internet resources. Unless I specifically state otherwise, only use the 2016 annual report for Abercrombie & Fitch Co. and American Eagle Outfitters, Inc.
As an introduction to the project, visit the corporate website for each of the companies used in this semester’s Financial Reporting Project to find the annual report. The direct link is located here, but check out the main web page as well. Download the annual report PDF to your computer. Sometimes this report or link is not available (especially if many students are trying to log in at the same time, say right before the FRP project is due).
- Abercrombie & Fitch Co: go to http://www.abercrombie.com/shop/us?cmp=PDS:ANF_US_GGL_BRD_General-Brand&gclid=CjwKEAiAgKu2BRDu1OGw3-KXokwSJAB_Yy2Qv8GzoprdjDHjeKRAfaI5EhzgohxvF17hWhT-wT9sxxoClDbw_wcB&kid=6a407abd-1d88-b108-a222-00000addb7b3 and click investors at the very bottom of the page, then select Financial Statements and the 2016 Annual Report.
- American Eagle Outfitters, Inc.: go to https://www.ae.com/web/corp/index.jsp?navdetail=footer:c2:p6 and at the top of the page click AE Financials & Filings and then SEC filings, 10-K (which is the annual report).
Look at the types of information available at each website. You can easily get to the annual reports by looking through the websites (see above for both American Eagle. and Abercrombie). Look for investor information or shareholder information and reports or annual reports. View each company’s interactive annual report. READ THROUGH IT and save the PDF to your computer!!
Visit a few of the websites that provide useful summary information on corporations, and search for information on our companies (It is usually easiest to search by the stock tickers provided above). Get a sense of what type of information is available for free. (Do not subscribe to anything!)
The worksheets are on Moodle. They are due IN LAB according to the dates on the class website/lab assignment due date.