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A disciplined financial management culture will deliver a true competitive advantage. (Adaptive Planning, 2005) Understanding the many types of financial statements and reports is the first step in achieving sound financial management.
Financial statements and managerial reports come in many different forms but can be categorized into one of three required financial statements. The types include the income statement, balance sheet and the statement of cash flows. “The income statement is the major device for measuring the profitability of a firm over a period of time.”(Block & Hirt, 2005) Income statement are normally presented in a way that profit or loss can easily be examined...
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