NOTES TO FINANCIAL STATEMENTS
June 30, 1999
NOTE A - NATURE OF OPERATIONS AND SUMMARY OF ACCOUNTING POLICIES
A summary of the significant accounting policies consistently applied in the preparation of the accompanying
financial statements follows:
Nature of Operations
Armstrong Associates, Inc. (the Company) is registered under the Investment Company Act of 1940, as
amended, as a diversified, open-end investment management company.
Valuation of Securities
The Company's investments in common stocks are carried at market value. Short-term debt securities are carried
at cost which approximates market.
Investment Transactions and Investment Income
Investment transactions are recorded on a trade date basis, and realized gains and losses are calculated using the
identified cost method. Dividend income and distributions to shareholders are recorded on the ex-dividend date.
Interest income is recorded on the accrual basis.
Use of Estimates
The preparation of financial statements in conformity with generally accepted accounting principles requires
management to make estimates and assumptions that affect the reported amounts of assets and liabilities and
disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of
revenues and expenses during the reporting period. Actual results could differ from those estimates.
NOTE B - FEDERAL INCOME TAXES
As of June 30, 1999, the Company qualified and intends to continue to qualify each fiscal year as a "regulated
investment company" under Subchapter M of the Internal Revenue Code, as amended. By qualifying, the
Company will not be subject to Federal income taxes to the extent that it distributes all of its taxable income for
its fiscal year.
NOTE C - PURCHASES AND SALES OF SECURITIES
For the year ended June 30, 1999, purchases and sales of securities, excluding short-term debt securities,
aggregated $461,520 and $2,426,986 respectively.
The Company paid total brokerage commissions aggreg