Financial Accounting
What is a “Transaction?
WHO ARE STAKEHOLDERS OF BIG BUSINESSES???
Elements of Financial statements – Part 1 Capital/Equity
Elements of Financial Statements – Part 2 Assets
Elements of Financial Statements – Part 3 Liabilities
Elements of Financial Statements part 4 – Income
Elements of Financial Statements part 5 – Expense
Introduction to Annual Reports
Understanding Profit or Loss Statement (Income Statement)
The purpose of this article is to explain the contents of Profit or Loss Statement which can then be used for ratio analysis to analyse the company’s financial performance. As ratio analysis use many figures from Profit or Loss statement, without understanding this statement properly it would not be possible to carry out an accurate and comprehensive financial analysis of the company.
Understanding Statement of Financial Position (Balance Sheet)
Statement of Financial Position is a primary financial statement which gives the financial position of business on the date when this statement is prepared. The previous name for this statement was “Balance Sheet” and most of the businesses still use this title for this statement. Just like Statement of Profit or Loss
Understanding Statement of Changes in Equity
While Statement of Cash Flows explains Cash and Cash Equivalent figure from Statement of Financial Position, this statement gives more details and explains the figures given in the equity section of Statement of Financial Position. Rows titles given in the equity section of Statement of Financial Position are the titles for each column..