Question
Financial statements are part
ofSolution
Financial statements are an important component of financial accounting. They are prepared by a business entity to provide information about its financial position, performance, and cash flows for a specific period of time. The financial statements typically include the balance sheet, income statement, cash flow statement, and statement of changes in equity. Financial accounting is a branch of accounting that deals with the preparation and presentation of financial statements for external stakeholders, such as investors, creditors, and regulators.
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