Financial Accounting 101: Financial Statements

This video gives us the basic structure and relationship between the four financial statements. 1. Income Statement: Revenues -Expenses Net Income 2. Statement of Retained Earnings: Beginning Balance R/E +Net Income -Dividends Ending Balance R/E 3. Balance Sheet Assets = Liabilities + Shareholders' Equity 4. Statement of Cash Flows +/- Operating Activities +/- Investing Activities +/- Financing Activities = Change in Cash +Beginning Cash Balance Ending Cash Balance