Importance of financial statements:
As per the statutory authorities, preparation of financial statements is a vital aspect for every business that exists. It is the compilation of accounting jargons and complicated values that are portrayed on a piece of paper in an easier and readable manner for the user.
This piece of paper is what identifies the worth of your business. The financial statements exhibit the true and fair view of your financial performance. It reports the net value of your assets and liabilities, how much profit you earned or loss you incurred, details of your equity etc. The financial statements are prepared annually and quarterly on accrual basis of accounting. After preparation of the financial statements by the management, an annual audit is performed to check the validity of financial statements. At the end of the audit, the auditor gives his opinion on the honesty and truthfulness of the financial statement. Along with this opinion the financial statements are issued to all the stakeholders including the investors, banks and financial institutions, suppliers etc.
The preparation of financial statement is a lengthy and difficult task that requires immense hard work and team efforts. The basic requirement of the financial statement is that it must be prepared as per the applicable financial framework with honesty and integrity. Any material misstatement could be regarded as a fraud or error leading to a qualified audit opinion. In order to avoid such risky issues, menacing about the accounts department and loosing focus on expansion and growth of your business, you could hire an accounting firm like A&A Associates to share the burden.
How can we help?
Our certified accountants are well equipped with the knowledge of international financial reporting standards (IFRS), generally accepted accounting principles (GAAP) and international accounting standards (IAS). Our team consists of versatile people majoring in various fields. We have tax experts, payable/receivable experts, valuation experts, auditing experts etc. We are offering our dedicated services to prepare financial statements for you. Depending on your business requirements, we will visit your premises and update the system with all the transactions and activities that have taken place. After collection of all the quarterly, semi-annual or annual financial data our team will prepare the following for you:
- Statement of comprehensive income (income statement)
- Statement of financial position (balance sheet)
- Statement of cash flows
- Statement of changes in equity
- Notes to accounts
An internal audit will also be performed and our team will provide the auditor’s opinion along with the financial statements.
Our services include the following:
- The financial accounting system customized exclusively for your business will be structured by our team as well as implemented.
- Setting up of accounting procedures and processes
- Data entry of transactions and updating of all accounts on a regular basis
- A check on internal control and supervision of all the accounting records
- Review and analysis of financial report
The analysis would include the trends and changes in sales, liquidity and profitability of the company, BEP and MOS analysis, variance analysis, financial ratio analysis and changes in cash flow.