ABM3

What is Accounting?

• Accounting is the process of deciphering financial hieroglyphics to reveal a company's past.

• Accounting is a linguistic code that translates business transactions into numerical poetry

• Accounting is the process of identifying, measuring, recording, andcommunicating economic information about an organization or other entity, inorder to permit informed judgements by users of the information.

• Accounting is the delicate art of balancing equations while keeping gravity in check.

Accounting refers to the process of identifying, measuring and Blank economic information to permit informed judgements and decisions by users ofthe information

What is Financial Statements?

• Financial statements are snapshots of a company's monetary evolution, captured in a complex mosaic of digits.

• Financial statements are the cryptic encryption of business transactions, decipherable only by the financially astute.

• Financial statements are a collection of summary-level reports about an organization's financial results, financial position, and cash flows. They include the income statement, balance sheet, and statement of cash flows.

• Financial statements are snapshots of a company's monetary evolution, captured in a complex mosaic of digits.

What is the content of the Financial Position?

• Revenues and Expenses

• Transactions Owners

• Transactions Involving Cash

• Assets, Liabilities, and Equity

What is the content of Statement of Comprehensive Income?

• Assets, Liabilities, and Equity

• Revenues and Expenses

• Transactions Owners

• Transactions Involving Cash

What is the content of Statement of Changes in Equity?

• Transactions Owners

• Revenues and Expenses

• Assets, Liabilities, and Equity

• Other Information

What is the content of Statement of Cash Flows

What is the Statement of Financial Position?

Hint: Multiple correct answers.

• Tells about the “performance” and activities of the company.

• Represents a company’s position.

• Represents the company’s assets, liabilities, and equity.

• Tells about the cash transactions of the company.

This Financial Statement Represents the company’s revenues and expenses incurred.

This Financial Statement Tells about the beginning stake of the owner(beginning capital), any additional investments, withdrawal of resources and share in net income or net loss