The Layman’s Guide to Understanding Financial Statements: How to Read, Analyze, Create & Understand Balance Sheets, Income Statements, Cash Flow & More
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Many small business owners who did not take accounting classes in college are stumped by managing their finances. Even if you hire a qualified accountant and bookkeeper, you will still need to know how to read and interpret the reports and statements they provide to you. What is a balance sheet, and what does it show me about my business? What statistics do shareholders need to know? How can I make the most of my cash flow? These are all valid concerns, and you deserve simple, easy to understand answers.In my book, The Layman’s Guide to Understanding Financial Statements, I will teach you all about what you need to know to read, analyze, create, and understand various financial statements. To be a competent and successful business owner, you will need to know what to do with these forms and how best to utilize them for your business’s financial health.If you are a business owner or manager, this book will help you handle your duties effectively. This book may also be used by accounting students who wish to sharpen their practical accounting skills. From the start to the end, we use a practical approach to elaborating on every aspect of financial statements. We have used examples, images, and screenshots to help you conceptualize how all the statements are prepared.To help you understand financial statements and even prepare them, we have simplified this book. You should not expect technical accounting terms or calculations within the book. The book breaks accounting in simple small chunks that are easy to understand for all.In this book, we have covered four main sections. The introductory section mainly focuses on new terms you will encounter in the book. To help you understand the book well, we look at some accounting terms and explain them in the simplest way possible.In the second section of the book, we introduce you to financial state... view more