Annual reports issued each year by the company to its shareholder, which include careful information about the company. It includes Balance Sheet, Profit and Loss A/c, Auditor's Report, Director's Report, Future Plans and much more information about the company. The annual report can be divided into specific parts:1. The director's report2. The auditor's report3. Financial statements4. Appendices and notes to the accounts The director's report The director's report is a more important part of the annual report; it is submitted by the directors of the company to report on the performance of the company under their leadership. • It dictates the opinion of directors about the state of the economy and the political situation of the country due to which their activities have had an impact. • The director gives the reason for all good. or poor performance of their business during this period. As a director, he always blames the bad income on the economic situation. It is the investor who decides whether or not he believes the director's opinion. The director may not always be true.• The director's report involves the company's plans for modernization, expansion and diversification.• Mainly important, the dividend recommendation is also part of the director's report. An investor carefully reads the director's report because the director always tries to portray a good image of his company. The investor must decide whether to remain invested or not. Diversification plans should be carefully analyzed by individuals and make their investment decisions. In short, the director's report is very valuable if carefully analyzed. The auditor's report represents the shareholder and he is required to report whether the financial statements presented are actually presented. detail the relevant information on the elements of the balance sheet and the profit and loss account. It also details information on sales, manufacturing costs, administrative expenses, interest and other income and expenses. This information is vital for analyzing financial statements. The charts allow an investor to determine which expenses have increased and investigate why. Likewise, investors would be able to know the reasons for the increase or decrease in sales and which products are dominating the sales. The tables even give details on stocks and sales, details on capacities and production, and much other useful information.NotesThe notes to the accounts are even more important than the tables because it is here that information is given. very important information relating to the company in terms of accounting. principles.