Business accounting can be: Historical – record of transactions that have taken place. Projecting (future) – shows the future financial picture of a budget. Traditional business accounting is an historical record of the finances of a business over a period of time. Examples: Revenue: What was the revenue amount achieved per month and for the…
Category Archives: Financial statements
Best balance sheet format for financial analysis
Traditional or financial. The traditional balance sheet has evolved over the years to fairly report the financial position of a business. However, it is not great when you want to do financial analysis. The ideal is to divide the balance sheet into two – those items that provide funding to the business (CASH, EQUITY, DEBT) on…
“The financial statements are linked”