The financial statements of Shoppers Drug Mart are presented in Appendix 5B. Complete the following instructions by referring to these financial statements and the accompanying notes.

Instructions

(a) What were the company's total assets at the end of the two periods that are presented?

(b) How much cash (and cash equivalents) did the company have at December 31, 2011?

(c) What were the company's revenues for the current and preceding year? What are the main sources of revenues?

(d) Using the financial statements and related notes, identify the items that may result in adjusting entries for "prepaid expenses and deposits" and "accounts payable and accrued liabilities."

(e) Identify three major adjustments that the company made to its financial statements relating to the transition to IFRS.

(f) Briefly summarize the content of the Management's Responsibility for Financial Reporting and the Auditors' Report. How much responsibility does senior management have for the creation and monitoring of the accounting information systems that produce the financial information?