the four financial statements are: (1) balance sheets; (2)income statements (3) cash flow statements (4) statement of shareholders' equity. Balance sheets show what a company owns and what it owes at a fixed point in time. income statements show how much money a company made and spent over a period of time.
Net income links to both the balance sheet and cash flow statement. In terms of the balance sheet, net income flows into stockholder's equity via retained earnings. ... In terms of the cash flow statement, net income is the first line as it is used to calculate cash flows from operations.
Answer:
The initial capital was $5000
The expenses for the first month were $1500
The revenue for the first month was $1800
The Net Income for the month was $300
Explanation:
The initial capital is the money that Susan put in to start the business. Susan starts the business with a capital of $5000 as stated in the question. Thus, the initial capital is $5000
The expenses for the month were of rent, wages and phone bill. The total amount of expenses for the month was = 450 + 1000 + 50 = $1500
The revenue for the first month was $1800 as Susan sold $1800 worth of goods in this month.
The income statement for the first month is as follows,
$ $
Revenue $1800
<u>(-) Expenses</u>
Rent expense 450
Wages Expense 1000
Phone Expense <u> 50 (1500)</u>
Net Income <u>300</u>
1.the base price
2.returns per year
3.ceo mindset
4.balance sheet records
5.assests of the company