Always check the audit report...

It's easy to assume that the financial statements are 'in the clear' simply because they have been lodged with the relevant regulators and distributed in an annual report. Not so: the financial statements can still be issued with a qualified audit report. It's a quick thing to check if you're evaluating a company. Here's an example where we might see a qualification. This sort of thing (i.e. internal control issues) has been a big issue in the U.S. following the implementation of SOX.