TOYOTA:

Review the annual report that you selected for potential disclosures relating to contingent liabilities and contingent assets. What do these disclosures suggest about the companys potential risk? Support your response with facts from the companys financial statements and annual report. Include a link to those documents so that other students can reference them.

Look at the annual report notes to the financial statements and describe the companys handling of lease transactions. Does the company have significant off-balance-sheet assets and liabilities? Would recording these assets and liabilities on the balance sheet change your view of the financial condition of the company?