Preparation of Problems in fund flow statement- Preparing problems for a fund flow statement involves analyzing the movement of funds within an organization over a specific period. The fund flow statement focuses on sources and uses of funds, highlighting the changes in financial position. Here’s how you can approach solving fund flow problems:
Steps to Prepare Fund Flow Statement Problems:
- Prepare a Statement of Changes in Working Capital:
- Identify current assets and current liabilities from two consecutive balance sheets.Calculate the change (increase or decrease) for each item.Summarize these changes to understand the overall working capital movement.
- Determine Funds from Operations:
- Begin with the net profit from the profit and loss account.Adjust for non-operating expenses (e.g., depreciation, goodwill written off) and income (e.g., profit on sale of assets).
Net Profit (+) Depreciation (+) Loss on Sale of Assets (-) Gain on Sale of Assets -------------------------------------- Funds from Operations - Identify the Sources and Uses of Funds:
- Sources include the issue of shares, debentures, sale of fixed assets, or long-term borrowings.
- Uses include purchase of fixed assets, redemption of debentures, repayment of loans, or payment of dividends.
- Prepare the Fund Flow Statement:
- List all sources of funds on one side and uses on the other. The net difference between sources and uses reflects changes in working capital.
Sample Problem:
Given below is the balance sheet for two consecutive years of ABC Ltd.
| Particulars | Year 1 | Year 2 |
|---|---|---|
| Fixed Assets | 80,000 | 90,000 |
| Investments | 30,000 | 25,000 |
| Cash | 10,000 | 8,000 |
| Debtors | 15,000 | 18,000 |
| Creditors | 25,000 | 22,000 |
| Bank Loan | 20,000 | 15,000 |
| Share Capital | 70,000 | 80,000 |
Required: Prepare a Fund Flow Statement.
- Statement of Changes in Working Capital:
- Calculate working capital changes based on current assets and liabilities.
- Funds from Operations:
- Assume net profit for the year is 20,000, with a depreciation of 5,000.
- Identify sources and uses of funds:
- Sale of investments, increase in share capital, repayment of bank loan, etc.
- Prepare the Fund Flow Statement based on these changes.
By breaking the problem down into these components, you can systematically prepare the fund flow statement. Let me know if you’d like further elaboration or assistance on specific parts!
What is Required Preparation of Problems in fund flow statement
When preparing problems related to a fund flow statement, it’s essential to focus on the following key components. Here’s a structured outline to help you formulate or solve fund flow statement problems:
Required Preparations for Fund Flow Statement Problems
- Understanding the Concept:
- Definition: A fund flow statement shows the sources and uses of funds in an organization over a specific period. It helps in understanding the movement of funds and the changes in financial position.
- Gathering Financial Statements:
- Balance Sheets: Obtain two consecutive balance sheets to analyze changes in assets and liabilities.
- Profit and Loss Account: Review the profit and loss statement to ascertain net profit and adjustments for non-cash items.
- Identifying Current Assets and Liabilities:
- Focus on current assets (cash, debtors, inventories) and current liabilities (creditors, short-term loans).
- Calculate the net working capital for both periods to see changes.
- Creating a Working Capital Schedule:
- Prepare a working capital statement to summarize changes in current assets and liabilities.
- This helps to identify increases or decreases in working capital.
- Calculating Funds from Operations:
- Start with net profit from the income statement.
- Adjust for non-cash items (e.g., depreciation, provisions) and non-operating incomes/expenses.
- Identifying Sources and Uses of Funds:
- Sources of Funds: Include activities that generate cash (e.g., sale of assets, issuing shares, loans).
- Uses of Funds: Include cash outflows (e.g., purchasing assets, repaying debts).
- Formulating the Fund Flow Statement:
- Structure:
- List sources of funds on one side and uses on the other.
- Calculate net increase or decrease in funds by comparing total sources with total uses.
- Ensure the statement balances (i.e., total sources = total uses).
- Structure:
- Sample Data Creation:
- If creating a problem, design sample data that include changes in balance sheet items, profit and loss account figures, and any relevant transactions affecting funds.
Example Problem Structure:
Here’s a simple structure you can follow to create a fund flow statement problem:
Example Data:
Balance Sheets:
| Particulars | Year 1 | Year 2 |
|---|---|---|
| Fixed Assets | 100,000 | 120,000 |
| Investments | 30,000 | 25,000 |
| Cash | 10,000 | 5,000 |
| Debtors | 20,000 | 30,000 |
| Current Liabilities | 25,000 | 20,000 |
| Long-term Liabilities | 50,000 | 45,000 |
| Share Capital | 70,000 | 80,000 |
Profit and Loss Statement:
- Net Profit: $25,000
- Depreciation: $5,000
Task:
- Prepare the statement of changes in working capital.
- Calculate funds from operations.
- Identify sources and uses of funds.
- Prepare the fund flow statement.
Solution Steps:
- Calculate changes in current assets and liabilities.
- Determine funds from operations based on net profit.
- List sources and uses based on the information provided.
- Prepare the fund flow statement, ensuring it balances.
This structure helps in organizing the necessary elements for fund flow statement problems, enabling effective analysis and understanding.
Who is Required Preparation of Problems in fund flow statement
The “Required Preparation of Problems in Fund Flow Statement” typically refers to the stakeholders involved in the process of preparing or analyzing fund flow statements. Here’s a breakdown of who is usually responsible for this task:
1. Accountants:
- Accountants play a crucial role in gathering and organizing financial data from various sources, including balance sheets, income statements, and cash flow statements.
- They are responsible for ensuring the accuracy of the financial statements and calculations involved in preparing the fund flow statement.
2. Financial Analysts:
- Financial analysts interpret the data and provide insights into the company’s financial health based on the fund flow statement.
- They help in identifying trends in the movement of funds and assess the implications for future operations.
3. Management:
- Management teams, particularly finance managers or CFOs, often oversee the preparation of fund flow statements.
- They utilize these statements for strategic decision-making and planning for future financial activities.
4. Auditors:
- Internal and external auditors may review fund flow statements to ensure compliance with accounting standards and to verify the accuracy of financial reporting.
- They ensure that the fund flow statement fairly represents the organization’s financial position.
5. Students and Educators:
- In academic settings, students studying accounting, finance, or business administration prepare fund flow statement problems as part of their coursework.
- Educators create problems to teach students about financial analysis and reporting.
6. Investors and Stakeholders:
- Investors and stakeholders may analyze fund flow statements to evaluate the financial health and liquidity of an organization before making investment decisions.
Summary:
In essence, the preparation of problems in fund flow statements is a collaborative effort involving accountants, financial analysts, management, auditors, educators, and investors. Each of these stakeholders plays a role in ensuring the effective preparation and analysis of fund flow statements for informed financial decision-making.
When is Required Preparation of Problems in fund flow statement
The “Required Preparation of Problems in Fund Flow Statement” is relevant during various periods in the financial management and accounting cycles of an organization. Here are the key times when this preparation is necessary:
1. End of Accounting Period:
- Year-End Closing: At the end of the fiscal year, businesses prepare fund flow statements as part of their financial reporting process. This helps in summarizing the movement of funds over the year.
- Quarterly Reports: Many organizations prepare interim fund flow statements at the end of each quarter to assess financial performance and cash flow.
2. Budgeting and Forecasting:
- Annual Budget Preparation: When preparing the annual budget, finance teams analyze past fund flow statements to estimate future cash requirements and allocate resources effectively.
- Cash Flow Forecasting: During financial planning sessions, companies may project future cash flows based on historical fund flow patterns.
3. Financial Analysis and Review:
- Internal Reviews: Regular internal reviews may prompt the preparation of fund flow statements to assess liquidity and operational efficiency.
- Performance Evaluation: When evaluating departmental or project performance, fund flow statements provide insights into fund utilization and resource allocation.
4. Decision-Making Processes:
- Investment Decisions: Before making significant investments or financial commitments, management may review fund flow statements to ensure sufficient funds are available.
- Financing Decisions: When considering loans, issuing equity, or other financing options, fund flow statements help evaluate the organization’s financial health.
5. Preparation for Audits:
- Before External Audits: Companies often prepare detailed fund flow statements as part of the documentation required for external audits. This ensures that auditors can verify the financial health of the organization.
- Internal Audits: For internal audit purposes, fund flow statements may be prepared to assess the accuracy of financial records and compliance with regulations.
6. Academic and Training Purposes:
- Educational Institutions: In accounting and finance courses, students engage in the preparation of fund flow statement problems as part of their curriculum.
- Workshops and Training Programs: Organizations may conduct training sessions where employees learn to prepare fund flow statements, often using practical problems for better understanding.
Summary:
The preparation of fund flow statement problems is a continuous process, taking place at critical times throughout the financial year, especially during year-end closings, budgeting periods, financial analysis, decision-making, audits, and academic settings.
Where is Required Preparation of Problems in fund flow statement
The “Required Preparation of Problems in Fund Flow Statement” can occur in various contexts and settings. Here’s an overview of where this preparation typically takes place:
1. Corporate Finance Departments:
- Finance and Accounting Departments: Within organizations, finance and accounting teams are primarily responsible for preparing fund flow statements. This includes analyzing financial data from balance sheets and income statements.
2. Educational Institutions:
- Universities and Colleges: Business, finance, and accounting courses often include the preparation of fund flow statements as part of the curriculum. Students work on problems to develop practical skills.
- Training Centers: Professional development programs and workshops may focus on financial reporting and analysis, including fund flow statement preparation.
3. Audit Firms:
- Internal Audit Teams: Internal auditors prepare fund flow statements to evaluate the financial health of the organization and ensure compliance with regulations.
- External Auditors: During financial audits, external auditors may prepare or review fund flow statements to verify the accuracy of financial reporting.
4. Consulting Firms:
- Financial Consultants: Consultants may prepare fund flow statements for their clients as part of financial analysis, restructuring, or planning processes.
5. Investment Firms:
- Analysts and Portfolio Managers: Investment analysts review fund flow statements to assess the financial health of potential investment opportunities and make informed decisions.
6. Nonprofit Organizations:
- Finance Teams: Nonprofits also prepare fund flow statements to understand their funding sources and expenditures, ensuring they align with their mission and goals.
7. Government Agencies:
- Public Sector Accounting: Government agencies may prepare fund flow statements to monitor public funds, assess budget allocations, and ensure accountability in public finance.
8. Business Simulations and Competitions:
- Case Studies: Business schools often conduct simulations or competitions where students analyze and prepare fund flow statements as part of a broader financial strategy.
Summary:
The preparation of problems in fund flow statements can occur in various settings, including corporate finance departments, educational institutions, audit firms, consulting firms, investment firms, nonprofit organizations, government agencies, and during business simulations. Each context has its specific purpose and audience, contributing to a comprehensive understanding of financial management.
How is Required Preparation of Problems in fund flow statement
The required preparation of problems in a fund flow statement involves a structured approach to analyzing and reporting the sources and uses of funds within an organization. Here’s a detailed breakdown of the process:
How to Prepare Fund Flow Statement Problems
- Gather Financial Data:
- Balance Sheets: Collect the balance sheets for two consecutive periods (e.g., Year 1 and Year 2). This provides the necessary data for calculating changes in assets and liabilities.
- Profit and Loss Statement: Obtain the income statement to determine net profit and adjust for non-cash items (like depreciation).
- Identify Changes in Working Capital:
- Analyze the current assets and current liabilities from both balance sheets.Calculate the changes (increases or decreases) in each item. The formula for working capital is: Working Capital=Current Assets−Current Liabilities
- If current assets in Year 1 are $50,000 and in Year 2 are $60,000, and current liabilities in Year 1 are $20,000 and in Year 2 are $25,000:
- Year 1 Working Capital = $50,000 – $20,000 = $30,000
- Year 2 Working Capital = $60,000 – $25,000 = $35,000
- Change in Working Capital = $35,000 – $30,000 = +$5,000
- Calculate Funds from Operations:
- Start with the net profit figure from the profit and loss statement.Adjust for non-cash items and any extraordinary items (e.g., gains/losses from asset sales).The formula is: Funds from Operations=Net Profit+Non-Cash Expenses−Non-Operating Income
- If the net profit is $30,000 and depreciation is $5,000:
- Funds from Operations = $30,000 + $5,000 = $35,000
- Identify Sources and Uses of Funds:
- Sources of Funds: This includes:
- Issuing shares
- Long-term borrowings
- Sale of fixed assets
- Uses of Funds: This includes:
- Purchase of fixed assets
- Repayment of loans
- Payment of dividends
- Sources of Funds: This includes:
- Prepare the Fund Flow Statement:
- Structure the Statement:
- On one side, list all sources of funds and their amounts.On the other side, list all uses of funds and their amounts.Calculate the net increase or decrease in funds.
Sources of Funds ----------------- Issue of Shares $20,000 Long-term Borrowings $15,000 Sale of Fixed Assets $10,000 ----------------- Total Sources $45,000 Uses of Funds ----------------- Purchase of Machinery $30,000 Repayment of Loans $10,000 Payment of Dividends $5,000 ----------------- Total Uses $45,000 Net Increase/Decrease in Funds: $0 - Structure the Statement:
- Ensure the Statement Balances:
- Verify that the total sources of funds equal the total uses of funds. This confirms the accuracy of your calculations.
Summary:
The preparation of fund flow statement problems involves a systematic approach of gathering financial data, calculating changes in working capital, determining funds from operations, identifying sources and uses of funds, and finally structuring the fund flow statement to reflect these findings. This process not only provides insight into the financial health of an organization but also aids in informed decision-making.
Case Study on Preparation of Problems in fund flow statement
Here’s a detailed case study that illustrates the preparation of problems in a fund flow statement. This case study will include a fictional company, financial data, and step-by-step solutions to derive the fund flow statement.
Case Study: XYZ Corporation
Background: XYZ Corporation is a manufacturing firm that produces consumer goods. The management wants to analyze the movement of funds for the financial year ending December 31, 2023, and has provided the following financial data.
Financial Data
Balance Sheets:
| Particulars | 2022 (Year 1) | 2023 (Year 2) |
|---|---|---|
| Fixed Assets | $100,000 | $120,000 |
| Investments | $30,000 | $25,000 |
| Cash | $20,000 | $15,000 |
| Debtors | $15,000 | $20,000 |
| Inventory | $25,000 | $30,000 |
| Current Liabilities | $40,000 | $50,000 |
| Long-term Liabilities | $30,000 | $25,000 |
| Share Capital | $70,000 | $80,000 |
Profit and Loss Statement for 2023:
- Net Profit: $40,000
- Depreciation: $10,000
- Gain on Sale of Equipment: $5,000
Steps to Prepare the Fund Flow Statement
- Calculate Changes in Working Capital:
- Current Assets:
- Cash: $15,000 (2023) – $20,000 (2022) = -$5,000
- Debtors: $20,000 – $15,000 = +$5,000
- Inventory: $30,000 – $25,000 = +$5,000
- Total Change in Current Assets = -$5,000 + $5,000 + $5,000 = +$5,000
- Current Liabilities:
- Current Liabilities: $50,000 (2023) – $40,000 (2022) = +$10,000
- Net Working Capital Change:Net Change=Change in Current Assets−Change in Current Liabilities=5,000−10,000=−5,000
- Current Assets:
- Calculate Funds from Operations:Funds from Operations=Net Profit+Depreciation−Gain on Sale of Equipment =40,000+10,000−5,000=45,000
- Identify Sources and Uses of Funds:
- Sources of Funds:
- Issuance of Shares: $10,000 (increase in share capital)
- Sale of Fixed Assets: $5,000 (gain on sale of equipment)
- Decrease in Long-term Liabilities: $5,000
- Uses of Funds:
- Purchase of Fixed Assets: $30,000 (increase in fixed assets)
- Increase in Current Assets: $5,000 (change in working capital)
- Sources of Funds:
- Prepare the Fund Flow Statement:Fund Flow Statement for XYZ Corporation for the Year Ended December 31, 2023 Sources of Funds Amount Funds from Operations $45,000 Issuance of Shares $10,000 Sale of Fixed Assets $5,000 Decrease in Long-term Liabilities $5,000 Total Sources $65,000 Uses of Funds Amount Purchase of Fixed Assets $30,000 Increase in Working Capital $5,000 Total Uses $35,000| Net Increase in Funds | $30,000 |
- Ensure the Statement Balances:
- Total Sources of Funds: $65,000
- Total Uses of Funds: $35,000
- Net Increase in Funds: $30,000 (which reflects the net movement of funds in the organization)
Conclusion
This case study illustrates how to prepare problems in a fund flow statement by analyzing financial data from balance sheets and income statements, calculating changes in working capital, determining funds from operations, identifying sources and uses of funds, and preparing the final fund flow statement.
White paper on Preparation of Problems in fund flow statement
Abstract
This white paper provides a comprehensive overview of the preparation of problems in fund flow statements, a critical tool in financial management. It elucidates the definition, importance, methodology, and challenges associated with fund flow statements, along with practical examples to illustrate the concepts effectively.
1. Introduction
A fund flow statement is a financial report that outlines the sources and uses of funds within an organization over a specific period. It helps stakeholders understand how cash is generated and utilized, providing insights into the company’s liquidity and financial health. This white paper aims to guide professionals and students in preparing and analyzing fund flow statements, emphasizing their importance in effective financial management.
2. Definition and Importance
Definition: A fund flow statement details the movement of funds, highlighting changes in working capital, identifying sources of funds (e.g., loans, capital raised) and uses of funds (e.g., asset purchases, debt repayment).
Importance:
- Liquidity Analysis: Assists in assessing the liquidity position of a business.
- Financial Planning: Aids management in strategic planning and budgeting.
- Performance Evaluation: Facilitates evaluation of operational efficiency and financial performance.
- Investor Insights: Provides investors with a clearer picture of cash flow trends and business sustainability.
3. Methodology for Preparation
3.1 Data Collection
The preparation begins with gathering relevant financial data:
- Balance Sheets from two consecutive periods to determine changes in assets and liabilities.
- Profit and Loss Statement to assess net profit and make adjustments for non-cash items.
3.2 Analyze Changes in Working Capital
- Current Assets and Liabilities Calculation:
- Identify changes in current assets (cash, inventory, debtors) and current liabilities (creditors, short-term debt).
- Calculate net working capital: Working Capital=Current Assets−Current Liabilities
3.3 Funds from Operations Calculation
- Start with net profit and adjust for:
- Non-cash expenses (e.g., depreciation).
- Non-operating incomes or losses.
3.4 Identify Sources and Uses of Funds
- Sources: Issuance of shares, loans, asset sales.
- Uses: Asset purchases, debt repayments, dividend distributions.
3.5 Prepare the Fund Flow Statement
- Structure the Statement:
- List sources of funds on one side and uses on the other.
- Calculate the net increase or decrease in funds.
Example Format:
markdownCopy codeSources of Funds
-----------------
Issue of Shares $XX,XXX
Long-term Borrowings $XX,XXX
Sale of Fixed Assets $XX,XXX
-----------------
Total Sources $XX,XXX
Uses of Funds
-----------------
Purchase of Assets $XX,XXX
Repayment of Loans $XX,XXX
Payment of Dividends $XX,XXX
-----------------
Total Uses $XX,XXX
Net Increase/Decrease in Funds: $XX,XXX
4. Challenges in Preparation
- Data Availability: Access to accurate and complete financial data can be a challenge.
- Complex Transactions: Multi-faceted transactions may complicate the categorization of funds.
- Subjectivity: Some adjustments may be subjective, affecting the reliability of the statement.
5. Conclusion
The preparation of fund flow statements is essential for effective financial management, offering valuable insights into an organization’s cash flow dynamics. By following a structured methodology and overcoming challenges, businesses can leverage fund flow statements for strategic decision-making, ultimately enhancing financial health and sustainability.
6. References
- Horngren, C. T., Sundem, G. L., & Stratton, W. O. (2002). Introduction to Management Accounting. Prentice Hall.
- Garrison, R. H., Noreen, E. W., & Brewer, P. C. (2010). Managerial Accounting. McGraw-Hill.
- Financial Accounting Standards Board (FASB). (2021). Conceptual Framework for Financial Reporting.
This white paper offers a structured approach to understanding the preparation of problems in fund flow statements, equipping readers with the necessary tools to effectively analyze and prepare these vital financial reports.
Industrial Application of Preparation of Problems in fund flow statement
Abstract
This document discusses the industrial applications of fund flow statements, emphasizing their importance in various sectors. It illustrates how organizations utilize fund flow statements for financial planning, operational efficiency, investment decisions, and performance evaluation.
1. Introduction
The fund flow statement serves as a crucial financial document that delineates the movement of funds within an organization over a specified period. By analyzing the sources and uses of funds, businesses can gain insights into their liquidity and financial health. This paper explores the industrial applications of fund flow statements across different sectors, highlighting their relevance in decision-making processes.
2. Importance of Fund Flow Statements in Industries
2.1 Financial Planning and Budgeting
- Manufacturing Sector: In manufacturing industries, fund flow statements help in forecasting cash needs for raw material procurement, equipment purchases, and operational expenses. This aids in effective budgeting and ensures that funds are allocated optimally.
- Retail Sector: Retail businesses use fund flow statements to manage seasonal fluctuations in cash flow, ensuring adequate liquidity during peak sales periods.
2.2 Operational Efficiency
- Service Sector: Service-oriented industries can identify operational inefficiencies through fund flow statements. By analyzing fund movements, they can pinpoint areas where costs can be reduced or revenue can be enhanced, thus improving overall operational efficiency.
- Construction Industry: Construction firms utilize fund flow statements to manage project funding, track cash inflows from clients, and ensure timely payments to subcontractors and suppliers.
2.3 Investment Decisions
- Real Estate Sector: Real estate companies analyze fund flow statements to evaluate the viability of new projects. Understanding the cash flow generated from existing properties helps in making informed decisions about acquiring new assets.
- Technology Sector: Tech companies use fund flow statements to assess the financial implications of research and development investments, enabling them to prioritize projects with the highest potential returns.
2.4 Performance Evaluation
- Healthcare Industry: Hospitals and healthcare providers use fund flow statements to evaluate the financial performance of various departments, helping management to identify underperforming areas and allocate resources effectively.
- Education Sector: Educational institutions can assess their financial sustainability through fund flow statements, ensuring that tuition revenue and grants are effectively utilized for operational needs and expansion projects.
3. Sector-Specific Examples
3.1 Manufacturing Example: ABC Manufacturing Co.
ABC Manufacturing Co. prepares its fund flow statement quarterly. By analyzing the statement, management discovered a significant increase in inventory levels, indicating potential overproduction. This insight led to adjustments in production schedules, reducing costs and optimizing inventory management.
3.2 Retail Example: XYZ Retail Stores
XYZ Retail Stores uses fund flow statements to monitor cash flow during holiday seasons. By projecting fund inflows from sales, the management ensures that sufficient liquidity is available for restocking inventory, leading to increased sales and customer satisfaction.
3.3 Technology Example: Innovate Tech Ltd.
Innovate Tech Ltd. relies on fund flow statements to evaluate R&D project funding. By assessing the flow of funds into different projects, management can allocate resources to projects with the highest potential for innovation and profitability, driving the company’s growth.
4. Challenges in Industrial Applications
- Complex Transactions: Industries with complex financial transactions may find it challenging to accurately reflect fund movements.
- Dynamic Market Conditions: Rapid changes in market conditions can impact cash flow forecasts, making it difficult to rely solely on historical data for decision-making.
- Data Integrity: Ensuring the accuracy and completeness of financial data is critical for the reliability of fund flow statements.
5. Conclusion
Fund flow statements play a vital role in various industries by providing insights into cash movement, enhancing financial planning, improving operational efficiency, and supporting informed investment decisions. By addressing challenges and leveraging the benefits of fund flow statements, organizations can achieve greater financial stability and operational success.
6. References
- Garrison, R. H., Noreen, E. W., & Brewer, P. C. (2010). Managerial Accounting. McGraw-Hill.
- Horngren, C. T., Sundem, G. L., & Stratton, W. O. (2002). Introduction to Management Accounting. Prentice Hall.
- Financial Accounting Standards Board (FASB). (2021). Conceptual Framework for Financial Reporting.
This document provides a comprehensive overview of the industrial applications of fund flow statements, highlighting their significance in various sectors.
- Financial accounting
- Cost accounting
- Management accounting
- Forensic accounting
- Fund accounting
- Governmental accounting
- Social accounting
- Tax accounting
- Income statement
- Balance sheet
- Statement of changes in equity
- Debits and credits
- Revenue
- Cost of goods sold
- Operating expense
- Capital expenditure
- Depreciation
- Gross income
- Net income
- Audit
- Budget
- Cost
- Forensic
- Financial
- Fund
- Governmental
- Management
- Social
- Tax
- Accounting period
- Accrual
- Constant purchasing power
- Economic entity
- Fair value
- Going concern
- Historical cost
- Matching principle
- Materiality
- Revenue recognition
- Unit of account
- Assets
- Cash
- Cost of goods sold
- Depreciation / Amortization (business)
- Equity
- Expenses
- Goodwill
- Liabilities
- Profit
- Revenue
- Generally-accepted principles
- Generally-accepted auditing standards
- Convergence
- International Financial Reporting Standards
- International Standards on Auditing
- Management Accounting Principles
- Annual report
- Balance sheet
- Cash-flow
- Equity
- Income
- Management discussion
- Notes to the financial statements
- Bank reconciliation
- Debits and credits
- Double-entry system
- FIFO and LIFO
- Journal
- Ledger / General ledger
- Trial balance
- Accountants
- Accounting organizations
- Luca Pacioli
- History
- Research
- Positive accounting
- Sarbanes–Oxley Act
- Creative
- Earnings management
- Error account
- Hollywood
- Off-balance-sheet
- Two sets of books
