THE FINANCIAL STATEMENTS
By now you should be able to confidently construct and adjust a trial balance and be ready to move on to the final stage in constructing final accounts. In Chapters 1 and 6 you were given some brief information about the income statement and balance sheet, which was necessary to place what you were doing into context. The statements will now, finally, be considered in detail so that you can see what the accountant has to do in practice. Consequently, most of this chapter focuses on the format of an income statement, balance sheet and cash flow statement.