Level of Financial Statement Disclosure Which of the following sections of the financial statements of Star Company are likely to contain the information needed to answer the questions provided below?

1. Consolidated financial statements

. Industry segment reports

. Significant geographical region reports

. Disclosure of significant customers BRWN op . The company has large defense contracts with the U.S.

government in addition to its commercial operations. You are concerned about the effect on revenues if the company were to lose its defense contracts with the U.S. government.

b. A division of the company is a major supplier of air bags to the automobile industry. You are concerned about the impact on total revenue if auto sales were to decline significantly.

c. You know that your company has large operations in Brazil and you would like to know the value of assets held there so you can assess the potential for losses from a devaluation of the Brazilian real.

d. Your company controls a number of other companies and you know that some of the companies have large debts outstanding. You would like to know whether the combined liabilities of all the companies are excessive compared to the total assets controlled by the companies.