ANSWER ONLY Q.3

Financial reports are the primary means by which corporations report their performance and financial condition. Financial statements are one component of the annual report mailed to their shareholders and other stakeholders having a vested interest in the company. Case -1 1. Briefly explain the different types of investment which companies make in the securities of other companies. (6 marks) 2. Locate a recent annual report of a public company that includes a footnote that describes an investment in securities available-for-sale. 3. Under what caption are the investments reported in the comparative balance sheets? Are they reported as current or noncurrent assets? (4 marks)