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Contrastingly, financial reports of private businesses are only sent to owners and lenders of that business.
So what are the differences between the different types of financial statements: (1) balance sheets; (2) income statements; (3) cash flow statements; and (4) statements of shareholder’s equity? Does a “balance sheet” show how a company balances out its monies? Do income statements tell us about every penny earned? Is the flow of money in and out of the business explained in a cash flow statement? Finally, how much is the shareholder’s equity truly worth?
Balance sheets provide detailed information about s company’s assets, liabilities, and shareholder’s equity...
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