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Part I Annual reports include not only comparative financial statements sources of information, such as: aso other A multiyear summary of financial highlights, a summary of key statistics for the pas 10 years. Several pages of Notes that accompany the financial statements Reports by management and by the independent auditors in which they express their respective responsibilities for the financial statements. . Instructions Answer each of the following questions and briefly explain where in the statements, notes, or other sections of the annual report you located the information used in your answer. a. How many years are covered in each of the primary comparative financial statements? Were all of these statements audited? Name the auditors. What were the auditors conclu- sions concerning these statements? Home Depot, Inc., combines its statement of retained earnings with another financial statement. Where are details about changes in the amount of retained earnings found? Over the three years presented, have the companys annual net cash flows been positive or negative from (1) operating activities, (2) investing activities, and (3) financing activities? Has the companys cash balance increased or decreased during each of these three years? b. c.
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