1. Balance sheet: an accounting statement that reflects the financial status of an enterprise at a specific time.
The embryonic form of balance sheet was produced in ancient Italy. With the development of business, businessmen's demand for commercial financing is increasing. Lenders of usury began to pay attention to the self-owned assets of merchants out of consideration for the safety of loan principal, and the balance sheet was born.
2. The income statement is an accounting statement that reflects the production and operation results of an enterprise in a certain period.
With the intensification of modern business competition, business society has higher and higher requirements for enterprise information disclosure. Static accounting statement-balance sheet can no longer meet the requirements of information disclosure, and people pay more and more attention to the sustainable viability of enterprises, that is, the profitability of enterprises. Therefore, the interim statement-income statement began to enter the historical stage.
Another view is that the direct cause of the income statement is the requirement of the development of modern tax system.
3. The cash flow statement is a statement of changes in financial position based on cash.
The cash flow statement, formerly known as the capital statement, first appeared in Britain in 1862. 1908, William Moss Kaul officially called this table "context table" in his accounting textbook. A few years later, it was called "fund table".
Since 1970s, capital statement has become one of the financial statements that enterprises in western countries must prepare.
China has long practiced a planned economy. The funds of state-owned enterprises are managed by the Ministry of Finance and banks, and enterprises only need to prepare balance sheets and income statements.
The Accounting System for Sino-foreign Joint Ventures promulgated by the Ministry of Finance 1985 and the Accounting System for Joint-stock Pilot Enterprises implemented since 1992+ 1 require joint ventures and joint-stock pilot enterprises to prepare a statement of changes in financial status.
1992, the Ministry of Finance promulgated the Accounting Standards for Enterprises, which stipulated that enterprises must prepare a statement of changes in financial position or a statement of cash flow.
1In March, 1998, the Ministry of Finance promulgated the specific accounting standard "Statement of Cash Flow", which stipulated that the statement of cash flow should replace the statement of changes in financial position.
4. Debate about the fourth kind of financial statement in accounting field.
Fourth, the causes of disputes over financial statements
The collapse of Bahrain Bank
The sudden appearance of hedge funds
Southeast Asian financial crisis
Liquidation of American Long Term Capital Management Corporation (LTCM)
Excessive use of derivatives will highlight the operational risks faced by enterprises, and the huge leverage effect of derivatives will easily push enterprises into a state of perdition.
The fourth financial statement requires enterprises to mainly disclose matters other than the three statements, including:
Disclosure of contingencies (guarantees, lawsuits, etc.) faced by enterprises. )
Introduce in detail the business that the enterprise is engaged in, with detailed risk analysis (for example, the bankruptcy of Enron).
Enterprise's ability to resist risks (whether sufficient capital reserve has been drawn)
Balance sheet principle: assets = liabilities+owners' equity, and assets are listed on the left side of the balance sheet:
monetary capital
temporary investment
Less: Short-term investment impairment reserve
Net short-term investment
notes receivable
dividend receivable
interest receivable
Accounts receivable
reserve for bad debts
net receivables
Prepaid account
Accounts receivable from affiliated enterprises
Subsidies receivable
receivable other
goods in stock
Inventory depreciation reserve
Inventory liquidation loss
Net inventory
deferred charges
Net loss of current assets to be processed
Long-term bond investment due within one year
other current assetslities
Within the branch
Total current assets
Long - term equity investment
In which: comprehensive price difference
Long-term debt investment
Total long-term investment
Less: Provision for impairment of long-term investment
Net long-term investment
original value of fixed assets
Less: accumulated depreciation
Net value of fixed assets
engineering material
construction in progress
Liquidation of fixed assets
Net loss of pending fixed assets
Total fixed assets
invisible assets
Organization cost
Long - term deferred and prepaid expenses
deferred assets
Other long-term assets
Total intangible assets and deferred assets
Deferred tax debit
total assets
The items on the right side of the balance sheet are liabilities and owners' equity.
Liabilities include:
short-term loan
notes payable
accounts payable
advance payment
Consignment payment
Wages payable
Benefits payable
Dividends payable
Taxes payable
Other unpaid funds
Accounts payable-others
accrued expenses
Long-term liabilities due within one year
Other current liabilities
Tax to be deducted
Accounts payable to affiliated enterprises
Employee bonus and welfare fund
Total current liabilities
money borrowed for long term
Corporate bonds payable
long-term payables
Housing revolving fund
Other long-term liabilities
Total long-term liabilities
Deferred tax credit
deferred income
total liabilities