A financial statement format outlines a document which serves as a brief record of financial activities of a person, business or any other entity. Therefore, such statement should be constructed with utmost efficiency so that it helps in carrying out quality financial management analysis.
Sample Financial Statement Format
Name of the business/ person ____________________
First Paragraph: The first paragraph should emphasize on the source of income of the business or the person. It should outline the income, investment and expenses for a certain period of time from the obtainable data. This helps to create a broader picture of the income and expenses so that a balanced financial management analysis could be carried out by the help of this, if needed or at the end of the financial year.
Second Paragraph: This is one of the most important paragraphs of the financial statement where one should efficiently state the financial activities of the company. This paragraph should highlight the business or a person’s debt or any other equity. Even one should clearly mention about the repayments of the debts so that a proper financial management could be obtained. On this paragraph other important factors like cash receipt from insurance or stock and returns received from capital should be elucidated.
Third Paragraph: The last paragraph should conclude the entire statement in order to give it a presentable approach. This paragraph should be so framed that it is convenient to deliver a clear picture of financial status to the clientele base with a concise business approach.