Financial statements (or financial report) is a formal record of the financial activities and position of a business, person, or other entity. Relevant financial information is presented in a structured manner and in a form easy to understand. They typically include basic financial statements, accompanied by a management discussion and analysis:
A balance sheet or statement of financial position, reports on a company's assets, liabilities, and owners equity at a given point in time.
An income statement or statement of comprehensive income, statement of revenue & expense, P&L or profit and loss report, reports on a company's income, expenses, and profits over a period of time. A profit and loss statement provides information on the operation of the enterprise. These include sales and the various expenses incurred during the stated period.
A Statement of changes in equity or equity statement or statement of retained earnings, reports on the changes in equity of the company during the stated period.
A cash flow statement reports on a company's cash flow activities, particularly its operating, investing and financing activities.
