Financial Statements, Revised and Expanded Edition Paperback – 1 August 2009

I work with an insurance company. I was appearing for the Associateship-level Exams conducted by Insurance Institute of India where Accounts and Investment is a compulsory subject. Though I've an MBA degree but I never found accounts easy, in fact to be honest this subject always scared the daylights out of me and I even had to give supplementary exams to clear this subject in MBA.Upon joining the insurance company, I was assigned to Accounts Deptt. despite my resistance. I soon found out that my stupid questions and doubts irked my boss and I was simply walking in the dark doing grunt work. I finally said to myself that I will not fool myself anymore and will clear my concepts this time around. After clearing the basic Licentiateship-level exams came the Associateship-level. When the book for Accounts and Investment arrived, I found that it was a voluminous book of around 850 pages. So, scared again I postponed the exam and appeared for two other subjects. Then I finally started preparing for this exam and into chapter 3, studying various Accounting Standards, I started losing steam as I wasn't being able to make head or tail out of many concepts and the jargon of accounting coupled with that of insurance was too intimidating. I prepared a bit for another subject and then came back to it determined to finish it off this time whether I understood it fully or not. I finished 70 % of the book simply reading it and understanding only around 50%-60% of what I read and then it was at this time that I stumbled upon this book by Thomas Ittelson on Amazon. Finding out that it was a # 1 Bestseller on amazon.com and reading many positive reviews about it I ordered it immediately along with an accounting dictionary.The time left for the exam was around 1 month and I wan't sure whether I would be able to finish this book. But once into it and I was hooked. I would say that this book worked on an another level clearing all my basics and doubts, for e.g., I didn't understood why the two sides of the Balance Sheet are always in 'Balance' and this book taught me that it was because it obeys the basic accounting equation of Assets - Liabilities = Equity or Assets = Liabilities + Equity. I know this is an embarrassing fact to reveal about myself and more so to ask your boss. But these are the doubts that non-financial background types face and the author too clearly being one of them faced them at one point of time. And this is precisely the reason that he clarifies all such basics and doubts so beautifully. The curriculum books like the ones in the MBA or the one I was studying recently are basically written for accountants by accountants and this is why they fail people like us.As I kept going through this wonderful book I began to see the concepts of the other book for whose exam I had to appear in a new light and a lot of things and jargon started making sense to me. In fact I scared my boss with my newfound knowledge!! I almost finished this book as exam drew close and it was revision time for the other book and it was then when I fully realized that how much on a deep-level this book by Mr.Ittelson had worked as revision seemed like a cakewalk as had been reading his book. I finally cleared the exam with a score of 67/100 (one of my much studious friend failed!) and I have no doubts saying that this miracle was all a result of this book.I now see Accounts in a new light and look forward to growth in it. I will say that this book won't make you a geek but will surely set you on the right path. I would end my review quoting and agreeing with the accountant which Mr. Ittelson had hired for his newly established firm:"Because accounting is so symmetrical, so logical, so beautiful and it always comes out right."

I have read so many books on financial statements and analysis but this is the easiest and most accessible book. And this is very comprehensive also...covers all the essential points. Best book to learn about Fin statements. It will behoove every fundamental stock investor to buy and read this book.I wholeheartedly recommend this book.

This book helped me to understand the basics of Accounting, am coming from a non finance background, I would recommend this book.

This book is best book on accounting.

from scratch to creation of financial statements and their inter relationship

Finance, Biology and neuro sciences are the very definition of the dry subjects in my opinion. One cannot read a line or two on these subjects without stumbling upon some obscure jargon, making them quite inaccessible for the layman.So when I picked up this book I was first dismayed by its volume as I thought that it was going to be those books which I pick but never finish.But I was amazed, as the author took us on the journey to prepare all the three statements of a company from scratch. Pages are built up on the previous pages and suddenly you start to see the light. So moving to the good and the bad parts:Pros:1. The chapters progress in a story book style, making the material interesting as well as accessible to the general public.2. The financial statements are build up in a step by step manner as the title suggest. So you understanding picks up one step at a time, giving you the real understanding of the numbers.3. The financial statements are clearly marked on each page under "Previous value" , "Transaction" & " New Value". This helps in keeping track of the changes. Personally I worked on Microsoft excel while going thru the transactions, which helped me in algebraic functions quickly.4. The author moves straight to the point, cutting any unnecessary jargon and clutter.5. The three major financial statements balance sheet, Income or profit and loss statement & cash flow statement are taken simultaneously. This helps the reader to observe where the affect of any particular activity is reflected on all the statements at a single place.6. The problems are presented as statements basis which an explanations and financial statement updates are provided.Cons:1. Its not really a con but the style of the book is not good for just picking up and opening at a random page. This book needs to be finished from first page to the last. So if you are not a financial expert and you just want to know inventory calculation, your jumping in that section will not help much if you never read the previous pages.2. The author should encourage the reader to write on notebook or work on an excel sheet along with him so that every thing gets imprinted in a reader's mind.3. The style of book is awkward. The financial statements are presented first and then question and explanations are provided. The reverse format would have been better.

nice book to understand financial satement. simple and easy

This book has guided to explain in very simple and clear understanding very quick to learn the financial statements concepts