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Monday September 25, 2023

Financial Data Write for Us

financial data write for us

However, if the financial data not able correctly, inappropriate economic decisions can be made or misled in the determination of taxes. Find here the most important aspects to prepare your financial data in a good and agile way.

What is Financial Data?

The financial data are structured documents that aim to display information about the economic situation and the result of a person or company. These documents are prepared for a specific period so that they help make decisions.

What are the Elements of Financial Data?

The elements of the financial data are the assets, liabilities, and equity, which make up the balance sheet or statement of financial position, and also, the income, costs, and also, expenses, which make up the income statement, as follows:

Statement of Income and Statement of Comprehensive Income

This financial statement lists the revenue obtained and the costs and expenses incurred by an economic entity during a given period to calculate the latter’s financial result (period).

In this regard, it should remain noted that the result obtained allows us to conclude whether the company had profits or losses.

Presentation of the Financial Position

However, the balance sheet denotes the assets, liabilities, and equity. And also, section 4 of the standard for SMEs offers two options for presenting the balance sheet: on the one hand, the items divide into short-term and long-term; and second, to order them according to their degree of liquidity.

Cash Flow Statement

Secondly, the purpose of the cash flow statement is to show the changes in the cash generated and used from the company’s business, financial, and investment activities.

Firstly, these financial statements are helpful as they provide information. And also, to gauge the company’s ability to generate cash or cash equivalents and understand how those resources charity. However, it is important to mention two methods: the direct method and the indirect method.

Moreover, the cash flow statement prepared using the direct method shows the main categories of incoming and outgoing payments separately. The indirect approach, for its part, begins with the net presentation of the profit or loss, which then corrects for the effect of non-monetary transactions.

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