Question

After years of doing their own bookkeeping and preparing all of their tax documents in-house, the Watkins BookStop is having a formal financial statement prepared. Write a short essay citing two possible reasons they would need a financial statement prepared.

Answer 1

Answer:

Most bookkeepers will prepare three major financial statements for your business—the profit and loss statement, balance sheet, and cash flow statement. It's a good idea to have updated financial statements every month, and then again at year end