A financial statement (or financial report) is a formal record of the financial activities of a business, person, or other entity. Relevant financial information is presented in a structured manner and in a form easy to understand. They typically include basic financial statements, accompanied by a management discussion and analysis:[1] A balance sheet, also referred to as a statement of financial position, reports on a company's assets, liabilities, and ownership equity at a given point in time…
Financial Statement Differentiation Bill Bartlett ACC/561 May 7, 2013 William Montgomery Financial Statement Differentiation In accounting there are four different types of financial statements that play an important role in demonstrating the financial condition of a company. Management, creditors, and investors use the statements to make key business decisions. The four types of financial statements are the…
. CheckPoint: Financial Statements xxxxxxxxxxxxxx XACC290 March 30, 2014 Lisa A. Parker, MBA Financial Statements Financial statements is a very important function of the accounting department of a business. These statements allow management with information that allows them to make sound decisions. Allowing managers the opportunity to properly plan, organize and run a business based on the information from these forms. These forms also bring together different departments of a…
Financial Statement Differentiation ACC: 561 December 17, 2012 Cynthia Reyburn Financial Statement Differentiation Financial information is important for investors, creditors, and manger of an organization. This data provides useful information to make informed decisions. Each of these different groups has different needs and requires different data. The most common financial tools are: income statement, retained earnings statement, balance sheet, and statement of cash flows. Income Statement…
potential). Content of Financial Reports The Management Letter The Financial Statements: Balance Sheet Income Statement Statement of Shareholders’ Equity Statement of Cash Flows The Footnotes The Auditor’s Report 3 The Management Letter The management letter is the statement of management to the investors. It indicates: management is responsible for the preparation and content of the financial report. the statements were prepared in accordance with generally accepted…
analysis (also known as trend analysis) is a financial statement analysis technique that shows changes in the amounts of corresponding financial statement items over a period of time. It is a useful tool to evaluate the trend situations. The statements for two or more periods are used in horizontal analysis. The earliest period is usually used as the base period and the items on the statements for all later periods are compared with items on the statements of the base period. The changes are generally shown…
Comparative Summary HCS 577 June 17, 2013 Comparative Summary Health care finance is a term used to describe the accounting and financial management of a health care organization as well as the principles and practices used in any health care organization, and meant to ensure the financial security and interests in the organization. There are three types of financial environments in the health care world. There is the for-profit financial environment, not-for-profit financial environment, and government…
Chapter 4 Vocab accumulated other comprehensive income - An entry in the stockholders' equity section of the balance sheet that reports the cumulative amounts of Other Comprehensive Income. Other Comprehensive Income measures the amounts of all gains and losses in a period that bypass the income statement but affect stockholders' equity. These amounts arise from such items as unrealized gains or losses on certain investments and unrealized gains and losses on certain hedging transactions. (p. 183)…
Financial Statements Paper ACC/290 Principles of Accounting I 4/29/13 Financial Statements Paper When operating a business it is important that all shareholders are informed and allowed to access financial statements. Financial Statements are the core of financial accounting and allows shareholders to view all the income and expenses going in and out of the business. There are four basic financial statements that are all important in their own ways.…
that the reported net income measures the results of the company’s income-generating activities. Asset Test Test of a reportable segment where its segment assets are 10% or more of the combined assets of all operating segments. Association of cause and effect Costs recognized as expenses on the basis of a direct association with specific revenues; some transactions result simultaneously in both a revenue and an expense. Capital maintenance concept A corporatio’s net income for a period of time is…
