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The statement of financial position, often called the balance sheet, is a financial statement that reports the assets, liabilities, and equity of a company on a given date. In other words, it lists the resources, obligations, and ownership details of a company on a specific day. You can think of this like a snapshot of what the company looked like at a certain time in history.

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Financial Statements are written reports that quantify the financial strength, performance and liquidity of a company. The four main types of financial statements are Statement of Financial Position, Income Statement, Cash Flow Statement and Statement of Changes in Equity.

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not accept company or individually prepared financial statements, unless they are backed by personal or corporate income. Typically, as a condition of granting a loan, a creditor may request periodic financial statements in order to monitor the success of the business and spot any possible repayment problems. 2. Information from financial statements is necessary to prepare federal and state income tax returns.

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Example. Following is an illustrative example of an Income Statement prepared in accordance with the format prescribed by IAS 1 Presentation of Financial Statements.

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Statement of Financial Position, also known as the Balance Sheet, presents the financial position of an entity at a given date. It is comprised of three main components: Assets, liabilities and equity.

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We draw attention to Note 1 of the financial statements, which describes the basis of accounting. The financial statements are prepared in accordance with the Financial Reporting Framework for Small- and Medium-Sized Entities, which is a basis of accounting other than accounting principles generally accepted in the United States of America.

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