What category of accounts are shown in the four big financial statements?
(BS, IS, Stmt of RE, Stmt of Cash Flows) BS- shows the financial position of a business on a certain date which is why it is known as the statement of financial position. The BS is made up of three parts which are assets, liabilities, and equity. The assets can include the depreciation of vehicles and buildings, and retained earnings and stockholder’s equity are included in the financial statement. IS- the income statement summarizes the revenues earned and expenses incurred by a business over a period of time. The IS includes revenues and expenses to arrive at a net income total. Stmt of RE- shows the changes in retained earnings over a period of time. The statement includes the beginning retained earnings with profits or losses below, as well as dividends paid in order to arrive at final retained earnings for a specific period of time. Statement of Cash Flows- statement directed toward the company’s liquidity goal. The statement of cash flows shows the cash produced by operating a bu
