What do you know about financial statements ? describe in your own words what you learned...

What do you know about financial statements ? describe in your own words what you learned providing an explanation of 200 words for each topic.

Second topic is long term financial planing & growth what do you know about that?

400 words total

Expert Solution

Financial statements refers to the various statements that are prepared to show the financial position of the company. Financial statements provide information on various aspects and on various financial variables like profitability, efficiency, solvency and capital gearing position. Financial statements consists of Income statement, which states the profitability position of a company of a particular period. Position statement narrates the position of total assets and liabilities on a particular day. Cash flow statement explains the total inflow and outflow of funds from various activities carried out during the year. statement of shareholders equity narrates the net or decrease into shareholders fund during a period so financial statements represent the performance of an organization on various aspects of financial variables.

Long term planning and growth is very much important in financial planning. financial planning refers to the process of setting the future financial objective and strategies to be implemented to achieve those financial objectives. long term financial planning involves with the planning for financial resources and how these resources are invested and would be useful to achieve the desired investment and future financial objectives. it involves analysis of various investment products on the ground of risk and return and safety and liquidity too. so long term planning helps us to achieve the future desired outcomes in case of future goals and objectives.

jeff jeffy answered 2 years ago

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