Accounting question-Financial Statements 2 questions
1.What are the financial statements? What information does each one offer?
2.How are these used to communicate financial health? Which financial statement is most important? Why?
Looking for about 125 or so words for each question set. (1 and 2)
Financial statements include balance sheets; income statements; cash flow statements; and statements of shareholders’ equity. The balance sheet is a statement of the financial position of the organization at any given point in time. It thus shows the resources owned and understates the debts to others. The income statement overstates the ability of the organization to sell goods at an additional cost to that of producing them…