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Financial statements give information about the company that is important for decision makers, particularly the owners. Owners use financial statements to analyze company wealth.
More specifically, the purpose of financial statements, including accompanying notes, is to provide information about:
a. The amount and nature of an organization's assets, liabilities, and net assets, b. The effects of transactions and other events and circumstances that change the amount and nature of net assets, c. The amount and kinds of inflows and outflows of economic resources during a period and
the relation between the inflows and outflows, d...
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