2. Statement of Comprehensive Income
(Income Statement)
Statement of Changes in Equity
Statement of Financial Position (Balance
Sheet)
Statement of Cash Flows
Notes to Financial Statements
3. Reports the revenue and expenses for a
specific period of time
Revenue is listed first, followed by expenses
Investment and withdrawal transactions
between the owner and the business are not
included in the measurement of profit
4. Reports the changes in owner’s equity for a
specific period of time
Beginning owner’s equity, owner’s
investments, profit (loss) and owner’s
drawings
Information in this statement indicates the
reasons why owner’s equity has increased or
decreased during the period.
5. Reports the assets, liabilities and owner’s
equity at a specific date
Total assets must equal total liabilities plus
owner’s equity
A snapshot of the business’s financial
condition at a specific moment in time
6. Provides information on the cash receipts and
payments for a specific period of time
Operating activities, investing activities,
financing activities
7. Additional information provided in a
company’s financial statements.
Notes to the financial statements report the
details and additional information that are
left out of the main reporting documents.
8. Report Form – assets are listed above
liabilities and owner’s equity
Account Form – the assets section is placed on
the left and the liabilities and owner’s equity
sections on the right
9. Current Assets
Cash P 65,189.00
Trade and Other Receivables 171,120.00
Merchandise Inventory 75,150.00
Prepaid Expenses 15,815.00
Total Current Assets P 327,274.00
Non-current Assets
Property, Plant and Equipment 151,920.00
TOTAL ASSETS P 479,194.00
Current Liabilities
Trade and Other Payables P 177,206.00
Non-current Liabilities
Mortgage Payable 120,000.00
Total Liabilities 297,206.00
Owner's Equity
Cora, Capital 181,988.00
TOTAL LIABILITIES AND OWNER'S EQUITY P 479,194.00
RYE CO.
Statement of Financial Position
as at December 31, 2012
Assets
Liabilities and owner's equity
10. Current Assets Current Liabilities
Cash P 65,189.00 Trade and Other Payables P 177,206.00
Trade and Other Receivables 171,120.00
Merchandise Inventory 75,150.00 Non-current Liabilities
Prepaid Expenses 15,815.00 Mortgage Payable 120,000.00
Total Current Assets P 327,274.00
Total Liabilities 297,206.00
Non-current Assets Owner's Equity
Property, Plant and Equipment 151,920.00 Cora, Capital 181,988.00
TOTAL ASSETS P 479,194.00 TOTAL LIABILITIES AND OWNER'S EQUITY P 479,194.00
Assets Liabilities and owner's equity
RYE CO.
Statement of Financial Position
as at December 31, 2012
11. Natural Form – one where expenses are
classified according to the nature of expense
Functional form – one where expenses are
classified according to the function of
expense
12. Income
Service Income 50,800.00
Interest Income 5,000.00
Rent Income 12,000.00
Total Revenue 67,800.00
Expenses
Supplies Expense 5,000.00
Salaries Expense 4,600.00
Utilities Expense 7,820.00
Depreciation Expense 3,280.00
Interest Expense 400.00
Total Expense 21,100.00
Profit 46,700.00
KYE CO.
Income Statement
For the period December 31, 20X9
13. Net Sales 645,845.00
Less: Cost of Goods Sold 458,882.00
Gross Profit 186,963.00
Add: Other Income 2,122.00
Less: Other Expenses
Distribution Costs 20,725.00
General and Administrative Costs 95,494.00
Finance Costs 5,485.00
Net Income (Loss) 67,381.00
RYE CO.
Income Statement
For the period December 31, 20X9
15. Cora, Capital - beginning 120,007.00
Add: Net Income 67,381.00
Less: Cora, Drawing 5,400.00
Cora, Capital - end 181,988.00
RYE CO.
Statement of Changes in Owner's Equity
For the period December 31, 20X9
