Sylvia Ayala recently accepted a job in the production department at Johnson & Johnson. Before she starts

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Sylvia Ayala recently accepted a job in the production department at Johnson & Johnson. Before she starts work, she decides to review the company's annual report to better understand its operations. 

The content and organization of corporate annual reports have become fairly standardized. Excluding the public relations part of the report (pictures, products, etc.), the following are the traditional financial portions of the annual report. 

  • Financial Highlights 
  • Letter to the Stockholders
    Management's Discussion and Analysis 
  • Financial Statements 
  • Notes to the Financial Statements 
  • Management's Responsibility for Financial Reporting 
  • Management's Report on Internal Control over Financial Reporting 
  • Report of Independent Registered Public Accounting Firm 
  • Selected Financial Data 

The official SEC filing of the annual report is called a Form 10-K, which often omits the public relations pieces found in most standard annual reports.

Search the Internet to find Johnson & Johnson's 10-K report dated for the year ended January 3, 2021, to answer the following questions.

a. What CPA firm performed the audit of Johnson & Johnson's financial statements?

b. What was the amount of Johnson & Johnson's basic earnings per share for the year ended January 3, 2021?

c. What are the company's net sales in foreign countries during the year ended January 3, 2021?

d. What were net sales during the year ended December 30, 2018?

e. How many shares of common stock have been authorized?

f. How much cash was spent on capital expenditures during the year ended January 3, 2021?
g. Over what life does the company depreciate its buildings?

h. What was the value of inventory on December 29, 2019?

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Related Book For  book-img-for-question

Financial Accounting Tools For Business Decision Making

ISBN: 9781119791089

10th Edition

Authors: Paul D. Kimmel,  Jerry J. Weygandt,  Jill E. Mitchell

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