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financial statement

TermDefinition
balance sheet shows its assets on the left-side and the liabilities and equity, or claims against assets, on the right-side.
income statement reports the result of operations over a period of time, and it shoes earnings per share as its ''bottom line''.
statement of retained earnings shows the change in retained earnings between the balance sheet dates
operating cash is paid out as dividends and plowed back into the business to produce growth
cash flow cycle is the way in which actual net cash, as opposed to accounting net income, flows into or out of a firm during some specified period
statement of cash flows reports the impact of its operating, investing, and financing activities on cash flows over an accounting period
value any asset depends on the stream of after-tax cash flows it produces.
income tax rates are progressive- the higher one's income, the larger the percentage paid in taxes, up to a point
assets such as stocks, bounds, and real estate are defined as capital assets
operating income paid out as dividends is subject to double taxation
interest income received by a corporation is taxed as ordinary income however, 70 percent of the dividends received by one corporation
Created by: nrojo6654
 

 



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