Annual reports are financial documents written by the accounting or financial department of a business once per year. This type of business document is written for investors and includes details of revenues and expenses, plus the total assets and liabilities of the company. Other sections include operational budgets, predictions for the upcoming financial year and what changes the company seeks to make in the future yo avoid financial downfalls. Not all companies create annual reports, but some are required to do so, including those with publicly traded stock.