Financial Statements are documents that reflect the economic health of the company with the aim of providing a grouped and totalized view of it over a specific period of time.
They are also known as Financial Statements or Annual Accounts .
Let's see an example to better explain what they are:
Every business must fill out an accounting ledger , which will let you know how much you have purchased during a year, when you owe a customer, how much you have sold, etc.
However, in italy business email list this document the information is disaggregated and it is much more useful to know key aspects such as: profits and losses, the value of the company or the asset.
This type of information is obtained in the Financial Statements , ordered, added and grouped by items.
When analyzing the financial status of the company , this information will be very useful.
Types of Financial Statements
Within what is known as Financial Statements, there are different types of documents that contain certain information.
1. Balance sheet
A balance sheet is a document that reports on the socio-economic situation of the company at a given time.
Provides information on:
Assets : set of company assets and collection rights (outstanding invoices, etc.) .
Liabilities : set of company debts.
Net : equity and reserves.
This document is very important as it allows you to see whether the company is in a good financial situation or not.
