In groups of three or four, search company annual reports, news releases, or the Internet for extraordinary items and announcements of discontinued operations. Identify the most unusual extraordinary item in your group. Also, select a discontinued operation of a wellknown company that might be familiar to other students or might interest them.

Prepare a brief analysis of the earnings per share impact of both the extraordinary item and the discontinued operation. Estimate the potential impact on the company's market price by multiplying the current price-earnings ratio by the earnings per share amount of each item.

One Internet site that has annual reports is EDGAR (Electronic Data Gathering, Analysis, and Retrieval), the electronic archives of financial statements filed with the Securities and Exchange Commission. SEC documents can be retrieved using the EdgarScan service from PricewaterhouseCoopers at http://edgarscan.pwcglobal.com.

To obtain annual report information, type in a company name in the appropriate space. EdgarScan will list the reports available to you for the company you've selected. Select the most recent annual report filing, identified as a \(10-\mathrm{K}\) or \(10-\mathrm{K} 405\). EdgarScan provides an outline of the report, including the separate financial statements. You can double click the income statement and balance sheet for the selected company into an Excel \({ }^{\mathrm{TM}}\) spreadsheet for further analysis.

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