Financial Documents

Financial documents, or financial statements, are used to determine the financial health and performance of your company. In business, there are three financial reports that are the most useful: the balance sheet, the cash flow statement, and the income statement. Do you know the difference?

Balance sheet: This report shows the company's assets and liabilities at a specific point in time.

Cash flow statement: This report shows how cash enters and leaves the company.

Income statement: This report, also known as the Profit & Loss Statement (or P&L Statement), shows the company's revenues and expenses over a specific period.

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