1. Types of financial statements
Four Types of Financial Statements the four main types of financial statements are:
-Statement of Financial Position: Statement of Financial Position, also known as the Balance Sheet, presents the financial position of an entity at a given date.
-Income Statement: Income Statement, also known as the Profit and Loss Statement, reports the company's financial performance in terms of net profit or loss over a specified period.
-Cash Flow Statement: Cash Flow Statement, presents the movement in cash and bank balances over a period.
-Statement of Changes in Equity: Statement of Changes in Equity, also known as the Statement of Retained Earnings, details the movement in owners' equity over a period.