Intro to the Financial Statements
As you may have seen in the outline, there are 3 financial statements.
- Balance Sheet
- Income Statement
- Cash Flow Statement (or more professionally known as the Statement of Cash Flows)
These three statements all work together. They are like partners in crime! But hopefully not crime, or else the CFO and Controller will be going to jail. That's probably not funny to you at this point so I apologize. I couldn't help myself.
Anyway, these are the three statements. We'll start off by going through each of them.
We will give you some space here to struggle through the terms on your own.
Without mastery of the terms from these three financial statements, your financial analysis skills will be very limited.
So we will give a short intro to each of the statements, then give you a specific set of flashcards to go through (you must make a free account with Quizlet to see all of the flashcards, there's no way around this).
We only chose the ones that really have the biggest impact so you don't have to get bogged down into the details yet.
Then you will have a short, 5-question quiz to test your learning along the way.
Are you ready? Let's do this...