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| Topic: |
Business
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| Number of pages / Number of words: |
4 / 967 |
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Thinking about it logically, it is easy to see why the company's Assets must always equal its Liabilities plus its Net Worth or Owners' Equity on this Statement of Financial Position, also know as the Balance Sheet.
The next chapter is the Income Statement, often called the Statement of Profits and Losses, or just the P & L...
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The Income Statement simply tells us, in financial terms, how well we did over a specific period of time. It states how much revenue was earned by the firm, what it cost to procure that revenue, or the expenses for the period, and what, if any, profit was left at the end of this time frame.
Chapter Three is the Statement of Cash Flows and that gives us an idea of where our money was made or spent; whether it was in the operations of the business, obtaining or repaying financing for the business, and/or in conjunction with the various investment activities of the business...
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General points of the essay
Analysis of Financial Statements
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comparison of Medtronic's financial statements to Baxter's financial statements
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The statement of financial performance is based on data relating to past transactions and events. Hence the statement of financial performance is of no use to an investor’s decision making process.
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