3.5.1 Interpretation of financial statements & 3.5.2 Ratio analysis GapFill

If a business is  a private a secret a close a secluded limited company (Ltd) or  a public a community a world an open  limited company (plc) then at the end of every financial year the business must prepare full statutory annual  accounts payments credits scores .

Statutory accounts must include:

A statement of   broad comprehensive worldwide encompassing income, which is also known as a profit and loss account.  This will show details of the  revenue money inclusive broad  made by the business over the financial year, together with any costs or profits.  In some cases costs will have exceeded revenues and the business will have made a   exit decline departureloss .

A statement of   money financial revenue turnover position, which is also known as a   poise balance fit stability sheet.  This is a snapshot in time and will show, on the day the accounts were prepared, everything the business owns and everything it owes. This statement might include items such as fixed and current   wealth assets goodwill transaction, and current and non-current   ownership obligations liabilities burdens .