Hoon Wee's Reviews > Financial Statements: A Step-by-step Guide to Understanding and Creating Financial Reports

Ever since I studied quant investment, I knew that someday I should do studies how to read and analyze financial statements.

And a few days ago, I picked up this book - not because of the investment purpose, but because I am currently planning my own business and was curious how to use financial statements.

The book has five chapters (at least for the 3rd edition, not sure for previous editions), but at the higher level it can be divided into *three parts*. **The first part** introduces basic terms and knowledge that readers should know before proceeding to the following chapters. **The second part** shows how a company's financial statement is being changed over trade by trade. **The last part** shows how we should use it to establish the decisions with the quantitative analysis. The last part includes some mathematical formulas, but it won't hurt your brain so much (if you're interested in investments, you should be a good friend of math anyway).

The book does a fantastic job explaining all these contents. Also, I like that it touches on a good level of detail about the subject - not too deep to get overwhelmed, nor too shallow for feeling it was a waste of money to buy this book. No wonder it became a bestseller in the financial category on Amazon.

I highly recommend this book, especially if you're a finance newbie who just started to feed your money-brain.