Question

Information in the Financial Statements A financial statement is a summary of all the financial transactions that have occurred over a particular period. Financial statements indicate a firm's financial health and stability, and are key factors in management decision making. That's why stockholders, bondholders, banks, labor unions, employees, and the Internal Revenue Service are all interested in a firm's financial statements. The major three financial statements contain data that is often confusing to many students, yet when the data is placed in its correct location, the financial statements bring forth a wealth of information.

Answer 1

Here's the remaining part of the question:

Please analyze and place each item in the appropriate financial statement to which it belongs;

Revenues, Long-term liabilities, Owner's equity, Insurance expense, Land, Patents, Costs of Goods Sold, Income tax, Advertising expense,  Insurance expense, Net change in cash, Accounts Receivable

Explanation:

1. Balance Sheet: Note that this financial statement usually shows the asset and liabilities of the firm's account for a particular period of time. These items are found:

• Owner's equity,
• Patents,
• Long-term liabilities
• Accounts Receivable
• Land

2. Income Statement: this financial statement is primarily focused on the revenues and expenses expenses of the firm. Items found includes;

• Revenue,
• Costs of Goods Sold,
• Advertising expense,
• Income tax,

• Insurance expense,

3. Statement of cash flow

• Net change in cash,