Deciphering Financial Statements (The Walt Disney Company)

Locate The Walt Disney Company’s 2004 annual report on the Internet and answer the following questions.

1. What is the largest liability listed in Disney’s 2004 balance sheet?

2. By what percentage did Disney increase its total borrowings (current and long term) in 2004? The current portion of borrowings increased by 67% in 2004. What impact did this increase have on Disney’s current ratio?

3. In the notes to the financial statements, Disney outlines how the company has borrowed money. What form of borrowing constitutes the greatest portion of Disney’s total borrowing?