What are the different types of financial reporting?
There are four types of Financial reporting:-
- Income statement:- Income statement for the entire reporting period unveils the financial performance of a firm. It starts with the sales and then it deducts all the expenses which were incurred during the period to reach a net profit or net loss.
- Balance sheet: - Balance Sheet displays the financial situation of a business as of the report date (thus it covers a precise point in time). The info is combined into the general classifications of assets, equity & liabilities.
- Cash flow statement:- Cash flow statement report unveils the cash inflows and cash outflows experienced by a company during the reporting period. These cash flows are actually broken down into three classifications -operating activities, financing activities & investing activities.
- Changes in equity statement: - This report documents all the changes in equity during the period of reporting. These variations include the issuance or the purchase of shares, dividends issued and the profits or losses.
Statement of financial position