A financial report or (A financial Statement) is a record of the financial activities of business or other entity. Financial Statement meant to present the financial information of the business,entity in question as clearly & concisely as possible for the both business & for reader. The financial report shows the record of transaction made during a year by the company. The financial report includes the balance sheet, income statement and statement of cash flows. The financial report should be reliable, relevant and comparable. The users of the financial report are investors, shareholders, an employee, owner and manager. The financial report may be required when the company has the intention of taking the loan from the bank. The components of the financial reports are assets, liabilities, income and expenses. The audit is only possible when the entity has its all financial reports. The financial report can include information on debt, going concern and accounts.
Financial Statement often Audited by Government Agencies,accountants,Firms,etc. to ensure the accuracy & for tax,Financing,Investing purposes.Financial Statement are integral to ensuring accurate & honest accounting for the businesses and individuals alike.
Financial Statement for the Business usually included following reports,