The stock annual report is the annual report used by the company. As a stock investor, you need to know what an annual report is. Stocks are one of the most popular investments in various countries, including Indonesia.
Stocks are instruments with fairly high returns. Especially considering that the goal of investing is to make a profit. That’s why there’s nothing wrong with trying to manage this one investment.
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Get to know the Annual Stock Report and its Functions
The annual report or annual report is the finances of the entire company in one year. The annual report or AR is an analysis of a company’s financial condition, including planning for the future.
The AR is done at the end of the tax year for both investors and creditors. This annual report contains information relating to the results achieved by the company in one year.
The annual report contains accurate information and the company can be held responsible. This report contains the funds that the company has issued to shareholders, investors, creditors or other external parties.
Through this, shareholders can learn about the company’s financial situation and the strategies they will implement for the coming year.
Also with the annual report, traders and investors can see the companies that are of profitable value if they buy their shares.
Because in the report there is also information regarding the profit and loss that the company has recorded during a year.
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Fungsi Annual Report
As we know, the annual stock report is quite influential on the company. With this annual report, it helps the company optimize its performance.
Preparation and use to attract investors or creditors to invest in the company. Some of the features of the essence of the annual report include:
- AR is used as a publishing tool related to detailed information about a company. It could also be for external users who want to know in detail the financial situation of the company
- Communicate to the general public the innovations and projects that the company intends to implement for the future.
- Summarizes various matters relating to the company’s operations so that outside parties can consider the value of investing effectively in the company.
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Annual report graphs
The stock exchange’s annual report plays an important role both for the company and for external parties such as investors. This AR includes several sections, namely:
- Letter to shareholders
- Highlights of the company’s financial statements and financial condition in one year.
- Management analysis and discussion.
- Statement by the independent auditors on the results of the financial statements
- Management records relating to financial relationships and the Internet.
- The financial statements include balance sheets, profit and loss, shareholders’ equity, original financial reports and a list of the names of directors and commissioners.
With the annual report, the company’s shares can optimally improve their performance. In addition, investors can also get information about the company in a year, including the finances, profits and losses that the company faces. (R10/HR-Online)
