
Preparing the annual financial statements correctly
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Step-by-step guide to preparing a company's annual financial statements
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60313 Frankfurt am Main, Hesse, Germany
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64401 Groß-Bieberau, Hesse, Germany
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The annual financial statements are an important part of a company's accounting . They provide an overview of the financial situation and business results of a company at the end of a financial year. They usually consist of the balance sheet and the profit and loss account (P&L).
The balance sheet shows the assets and liabilities of a company on a specific date.
It is divided into two pages:
The balance sheet provides an overview of what the company owns and how it has financed it.
Abbreviated as P&L , this is where the income and expenses of a company are compared. This allows the profit or loss of a company to be determined.
The annual financial statements provide a comprehensive overview of the company’s financial situation and its business success in the past year.
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