Module 2: Part 3 Flashcards
1
Q
What is a Financial Statement?
A
- Periodic report showing results of business operations and financial condition of company.
2
Q
What is an Income Statement?
A
- Displays financial results of an entity within a reporting period
- Revenue-Expenses=Income
3
Q
What is a Statement of Financial Position?
A
- Displays financial status of an entity.
- Asset = Liabilities + Owner’s Equity
4
Q
What is a Statement of Changes in Equity?
A
- Displays additions and withdrawals of equity as well as income (loss)
- Capital+Income-Drawing
5
Q
What is a Cash Flow Statement?
A
- Inflows and outflows of cash of a company
- Refers to the operating, investing, and financial activities done
6
Q
What is Notes to Financial Statement?
A
- Accompanies the main financial statement. Provide detailed explanations, descriptions and context to help undrrstand the financial statements
- Include the Details as well as the Financial and Non-Financial Information