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What is an advantage of using the multiple-step income statement?
Wiki User
∙ 12y ago
It's easier to use than a single step.
Wiki User
∙ 12y ago
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What should accompany the income statement of a company using earnings management?
An income statement, enhanced by earnings management without adequate disclosure, may well be a fraudulent income statement.
What is the name of the financial statement that compares your income to expenses?
'Income Statement' is the financial statement which compares the business incomes with its expenses using matching principle for specific period of time
Why the balance sheet is a more important statement than income statement?
The balance sheet is no more or no less important than the income statement. The balance sheet provides a snapshot of the business as it stands at a given point in time and the income statement shows how the business got there. Together with the statement of cash flow (which can be constructed using multiple years of income statements and balance sheets), these three financial documents help clearly define the financial health of the business.
Why Balance sheet is a more important statement than income statement?
The balance sheet is no more or no less important than the income statement. The balance sheet provides a snapshot of the business as it stands at a given point in time and the income statement shows how the business got there. Together with the statement of cash flow (which can be constructed using multiple years of income statements and balance sheets), these three financial documents help clearly define the financial health of the business.
What is a financial statement, and how do you read one?
A financial statement is a record of financial activities of a person or business. It is difficult to summarize in a few sentences how to read a financial statement, however the website PracticalECommerce has a tutorial available explaining how to read one.
Why the balance sheet statement is more important than income sheet?
The balance sheet is no more or no less important than the income statement. The balance sheet provides a snapshot of the business as it stands at a given point in time and the income statement shows how the business got there. Together with the statement of cash flow (which can be constructed using multiple years of income statements and balance sheets), these three financial documents help clearly define the financial health of the business.
Cash flow statement prepared using indirect method?
in cash flow statement using indirect method actual net profit from income statement is adjusted for non cash items to arrive at actual cash from operating activities.
Can a person get a loan using bank statements as proof of income?
I have received mortgage loans based on my bank statements as proof of income since my sole source of income is Federal benefits for which no weekly statement is issued.
What is one advantage of using a variable to represent a pattern?
A single statement, using variables, can convey the same information as many, sometimes infinitely many, statements.
Why is depreciation taken out of both income statement and cash flow statement?
Depreciation is added back to net income in cash flow statment because it is not involve directly in reduction of cash while preparing cash flows of operating activities using indirect method.
Why are salaries and purchases not reported on a statement of cash flows using the indirect method?
Under indirect method net income from normal income statement is adjusted for non cash items to arrive at cash flow from operating activities. As salaries and purchases are already accounted for in normal income that;s why it is not reported otherwise it will count twice.
What is the advantage of using PLM?
What is the advantage of using an PLM
