Refer to Reeboks financial statements in Appendix E. Review the balance sheet to determine how and when

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Refer to Reebok’s financial statements in Appendix E. Review the balance sheet to determine how and when long-term liabilities are reported.

Required

a. Read Note 8 “Long Term Debt.”Identify and discuss any unusual terms. Trace numerical disclosures of long-term liabilities in the notes to corresponding disclosures in the financial statements.

b. Discuss any other unusual concerns regarding Reebok’s long-term liabilities.

What other related information might an external analyst prefer?

c. Note 8 contains a list of various debt issues, maturity dates, and interest rates.

Comment on why Reebok might have long-term debt issues with such different interest rates and different maturities.

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Financial Accounting Reporting And Analysis

ISBN: 9780324149999

6th Edition

Authors: Earl K. Stice, James Stice, Michael Diamond, James D. Stice

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