Financial Statement Comparison for Corporations Financial Statement Balance Sheet Income Statement Statement of Retained Earnings Statement of Cash Flows Reports the Reports income or Reports the changes in retained Reports inflows and financial position loss of a business earnings for a period of time. outflows of cash for a Purpose of a business entity for a period of period of time. entity at a specific time. point in time.

Assets Revenue Beginning Retained Earnings Cash flows from: Liabilities Expenses Net Income (Loss) Operating Activities Equity Dividends Investing Activities Elements / Ending Retained Earnings Financing Activities Account Net Increase(Decrease) in Categories cash flow Cash at the beginning Cash at the end Assets = Revenue Beginning Retained Earnings CF from Operating Act. Liabilities + - Expenses + Net Income + or - CF from Invest. Act. Equations Equity = Net Income (Loss) - Net Loss + or - CF from Fin. Act. - Dividends = Net Decrease/Increase = Ending Retained Earnings + Beginning Cash = Ending Cash Who Who Who Who What What What What Heading Specific Date Time Period Time Period Time Period Unit of Measure Unit of Measure Unit of Measure Unit of Measure Retained Net income from this Net Income number comes from Ending Cash equals cash Earnings equals statement is Income Statement. Ending reported on the Balance Ending Retained recorded on the Stmt Retained Earnings equals Sheet. Earnings on Stmt of Retained Retained Earnings on the Relationship of Retained Earnings. Balance Sheet. Earnings. Cash account equals ending cash on Cash Flow Stmt.