RelationshipBetweenAccountingandFinance

AccountingandFinance

RelationshipBetweenAccountingandFinance

Source:http://www.cba.edu

ManyfirmsprefertocentralizeFinancetokeepaconstant
controlonthefinancesofthefirm
Accountinginformationisusedinmakingfinancialdecisions

UnderstandingFinancialStatements
Seatwork
*PropertyofSTI

Source:http://managementclass.co.uk

I0040

*PropertyofSTI

I0040

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UnderstandingFinancialStatements

UnderstandingFinancialStatements

ForaFinanceManager to
analyzeacompany
effectivelyorinferits
value,he/shemust
understandthefirms
businessactivities

Financialstatementsreport
acompanysperformance
andfinancialconditionand
revealexecutive
managementsprivileged
informationandinsight
(Cabrera,2013)
Source:http://www.7oaks.org

Source:http://www.brainpickings.org

*PropertyofSTI

I0040

*PropertyofSTI

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I0040

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UnderstandingFinancialStatements

UnderstandingFinancialStatements

Accountingreportspreparedby
theaccountantattheendof
everyaccountingperiod

Providescrucialinputfor
strategicplanning

Servesasthemeansof
communicationbetweenthe
firmandallinterestedparties
(Abeleda,2012)

Providesinformationaboutthe
relativesuccessofthoseplans
whichcanbeusedincorrective
actionandmakenewoperating,
investingandfinancingdecisions

Source:http://www.philabundance.org

*PropertyofSTI

Source: http://www.philabundance.org

I0040

*PropertyofSTI

I0040

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UnderstandingFinancialStatements

UnderstandingFinancialStatements

ExamplesofFinancialStatements
BalanceSheet

IncomeStatement

StatementofCashFlows

Source:http://www.sweetbusinesses.com

Source:http://unchainedentrepreneur.com

Source:http://www.alifewithmoney.com

Presentsacompanysfinancial
positionatagivenperiod

Source:http://connellyandfraser.com

Itconsistsofthreeelements
assets,liabilitiesandequity
Source:http://www.kaplancollectionagency.com

*PropertyofSTI

I0040

*PropertyofSTI

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I0040

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UnderstandingFinancialStatements

UnderstandingFinancialStatements

Source:http://www.vuru.co

Source:http://arborinvestmentplanner.com

Showstheresultsofafirms
operationswithinagivenperiod
oftime

Showsthefirmscashinflowsand
outflowsfromitsoperationsas
wellasitsinvestmentsand
financingactivities

ItisalsocalledtheProfitandLoss
Statement
Source:http://www.kaplancollectionagency.com

*PropertyofSTI

Source:http://www.kaplancollectionagency.com

I0040

*PropertyofSTI

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SEATWORK
2011

2012

P90,000
800,000

P140,000
900,000

CurrentLiabilities

P50,000

P60,000

LongtermDebt

600,000

750,000

Asset
CurrentAssets
FixedAssets
Liability

*PropertyofSTI

I0040

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I0040

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