Balance Sheet and Profit and Loss Statements

The Balance Sheet and Profit and Loss Statements are the vehicles used to report the financial condition and progress of the business on a specific date or period of time. The financial statements give the important information needed in making business decisions while managing or running your business. They should be done on some consistent bases, so as having a comparison from month to month, quarter to quarter, or year to year. Financial statements can be invaluable if you need a bank loan, or if the business must be evaluated for a sale or merger.