Hi, I need a 50 word response to this classmate--The major purpose of financial statements in my opinion is; informational source, staff is able to look over said statements and have instant data about the company’s revenue, expenses, cash flow, and net worth. There are four statements within the single title of financial statement they are: balance sheet, revenue and expense, net worth, and cash flow. The data one can expect to see on a balance sheet would be; what the company owns, what is owed to them, and what they are worth. A revenue and expense statement shows inflow minus outflow which equals either excess revenue resulting in a gain or excess expense causing in a loss. With the net worth statement it will show how excess revenue flows back into equity. The cash flow statement displays the current periods cash flow by taking the accrual basis statement and converting them to an effective cash flow
I will gladly assist you with this assignment.
THIS ANSWER IS LOCKED!You need to spend $3 to view this post. Add Funds to your account and buy credits.
UCLA graduate. Advanced degrees in English and Education.