Core Viewpoint - Buffett emphasizes the importance of analyzing the balance sheet before making investment decisions, stating that he spends more time reviewing it than the income statement [1] Group 1 - The focus on the balance sheet is due to its ability to reveal information that may be hidden or manipulated, unlike the income statement [1] - Buffett prefers to examine balance sheets from the past 8 to 10 years to gain a comprehensive understanding of a company's financial health [1] - He acknowledges that neither the balance sheet nor the income statement provides a complete picture on their own [1]