A Financial Statement can be defined as, “Summary report that shows how a firm has used the funds entrusted to it by its stockholders (shareholders) and lenders, and what is its current financial position” (Business Dictionary, 2011). The Financial information is required for various users to make an informed Decision. “The purpose of financial information is to provide inputs for decision making” (Kimmel, Weygandt, Kieso, 2009, Para 1, p. 6). There are four different parts covered in a Financial Statement; those are Balance Sheet, Income Statement, Retained Earnings Statement, and Statement of Cash flow. The assignment will elaborate the purpose of each statement and differentiate its utility for different…
A financial statement is a statement, or formal record, that lays out the activities of a business, person, or other entity. Quarterly or yearly financial information is put into relative categories and displayed to show how the company is matching up to expectations. For larger corporations, these statements may include large amounts of side notes and subcategories to show all the parts that the company may have connected to the larger company structure.…
are things of value owned by a business. 3. Notes to the financial statements are optional. help clarify information presented in the financial statements. are generally brief and few in number. need not be read in detail if an unqualified opinion accompanies the financial statements. 4.…
The first financial statement is the balance sheet. The balance sheet provides a portrait of the company’s assets and liabilities. The balance sheet is the statement of financial position at a given point (Quick MBA, 2010). The second financial statement, the income statement, reports the revenues, and expenses during the same timeframe as the balance sheet. Revenue is the monies the company is gaining after expenses. The third statement is called the retained earnings statement, which explains changed in retained earnings. The retained earnings are changed by the company’s income and dividends. The retained earnings statement uses information form the income statement, which changes the financial information on the balance sheet. The final financial statement is the statement of cash flows. The statement of cash flows shows where the business obtained cash during a period of time and how that cash was used (Kimmel, Accounting, 3/e).…
Once this financial information has been stored in the accounting records, it is usually compiled into financial statements, which include the following documents: income statement, balance sheet, statement of cash flows, statement of retained earnings, and disclosures or notes that accompany the financial statements.…
The balance sheet “reports assets and claims to assets at a specific point. Claims to assets are subdivided into two categories: claims of creditors and claims of owners” (Kimmel, Weygandt, & Kieso, 2011, p. 13). Statement of cash flows “primary purpose is to provide financial information about the cash receipts and cash payments of a business for a specific period. To help investors, creditors, and others in their analysis of a company’s cash position, the statement of cash flows reports the cash effects of a company’s operating, investing, and financing activities” (Kimmel, Weygandt, & Kieso, 2011, p. 15).…
The financial statement is a written report which quantitatively describes the financial health of a company. This includes a balance sheet and income statement. The Balance Sheet is a quantitative summary of a company 's financial condition at a specific point in time. It contains…
PTSD and Veterans: A Conversation with Dr. Frank Ochberg documents an interview of Dr. Frank Ochberg, M.D. by broadcast journalist, Mike Walter. Dr. Ochberg is a leading psychiatrist in the treatment of posttraumatic stress disorder (PTSD) with over 30 years of field experience. He is credited with editing the foremost text for the treatment of PTSD as well as participating in the team that created the medical definition for the diagnosis. Throughout the interview, Dr. Ochberg discussed many facets of PTSD as it relates to working with military veterans as well as working with civilians. In fact, he highlighted that there is no specific differentiation between civilian PTSD and that experienced by veterans. Dr. Ochberg discussed characteristics of an effective counselor for working with those that have experienced trauma, common problems encountered, approaches to utilize, as well as the treatment of co-occurring disorders such as depression (Gift from Within, 2008).…
Read an article on a Doctor who operated on an unborn baby. Dr. Michael Harrison which referred to the unborn child a patient” It seem he was comfortable identifying the unborn as human. It appears that Dr. Michael Harrison, who called the babies he operated on a mere eight years after Roe “unborn patients,” he was comfortable speculating that the unborn child is human. Also, it ought to be clear to anybody with an ethical area that regardless of the possibility that there was vagueness on the meaning of human life, so this fair and high-minded country flavor the rights to abortion.…
The argument of whether or not wind turbines produce ailments seems to be quite controversial in claiming who is right and wrong between Dr. David Colby and Dr. Bob McMurtry. Its hard to judge who should be named correct and accurate based on the information given, but with the support of assessing someone’s credibility, I would have to lean more towards Colby’s theory. There is sufficient reasoning behind selecting either one of these doctors, as they are in fact, both licensed doctors. However, the evidence and information that Colby has provided to the reader seems to be slightly more convincing than that of McMurtry’s.…
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A decision maker who wants to understand a company's financial statements must carefully read the notes to the financial statements because the notes provide useful supplemental information. True False…
To conclude, accounting policy choices are included in the notes to the accounts and provide businesses with flexibility in decision making on what depreciation or stock valuation methods to use. The notes to the accounts are important to stakeholders who rely on the information to make decisions, such as whether or not to invest in a…
How many times have you heard someone say, “Let’s just grab a few drinks”? Only to wake up hours later in a strange place not knowing what took place the night before. Just one more drink can quickly spiral into five, 10, or even 15 and that’s when trouble starts.…
Describe the accounting packages used, include details of what training is given to staff, do they have operational manuals or other written info, do they have help menus.…