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What are the four four elements of a financial statement?
- Location: USA,Buffalo, United States
The financial health and performance of a business are communicated to the world through a set of core documents known as financial statements. These reports are standardized to ensure clarity and comparability, allowing stakeholders—such as investors, creditors, and management—to make informed decisions.While some accounting frameworks list five, the vast majority of financial bodies (like the SEC in the U.S. and major global standards) recognize four primary financial statements that form a complete picture of a company's financial status:
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