What are the financial statements?
The Financial statements Denotes the Conclusion of a financial year and consists of balance sheet with assets and capital as well as the Profit and loss statement (P&L). It provides information about The overall economic situation of a company. It is regulated by the Commercial Code (HGB). Therefore, they are merchants committed to the annual financial statements, which also keep double accounts.
Exempted from the obligation are sole traders like small business owners, small businesses or freelancers, which do not exceed the turnover limit of 600,000 euros and achieve profits of up to 60,000 euros. You have simple bookkeeping and, at the end of the financial year, create the Surplus income statement (EU).
How do I create it?
In doing Do you close all accounts and post the income values and expense costs of all sub-accounts into main account, around that balance to calculate. You then transfer it to the balance sheet. In addition, you create a Final report on final and initial stocks, which after inventory- and Success accounts are structured.
How do I prepare it?
To complete the degree, you must prepare it by completing all the necessary Compile working documents. This includes assets and liabilities of inventory, treaties, Accounting documents and Depreciation. In addition, the logbook must be complete and up to date. You must outstanding receivables check for creditworthiness and set reserves capture.
