what is a financial statement?

Answer 1

There are four basic financial statements; income statment, statement of owner's equity, balance sheet, and statement of cash flows.

Income Statement-shows a company's revenues and expenses.

Statement of Owner's Equity-shows changes in owner equity.

Balance Sheet-describes a company's financial position.

Statement of Cash Flows-identifies inflows and outflows of cash

Answer 2

Financial statements are business records that provide information in standardized form showing the financial picture of a business.

There are three standard statements: balance sheet (showing assets and liabilities at a fixed time), income statement (showing revenues and expenses and results of operations over a period, usually a quarter or full year, and statement of cash flows or sources and uses of cash, which reflects transactions that had an effect on available cash during the period.

Large companies have these statements checked by independent auditors once a year.

Answer 3

A financial statement tells someone's monetary value. It list assets, expenses, etc. for a net value.