How to read Financial Statements ?

How to read Financial Statements ?

Part-1

Financial Statement is the Annual Progress report of an Enterprise which provides Financial Position and Statement of affairs in the form of Statement of Profit and Loss and Balance Sheet respectively.

Users of Financial Statements are

a.Auditor

b.Banker

C.Customer

d.Creditors

e.Debtors

F.Financial Institutions

g.Government

h.Holders of Capital

i.Investors
Financial Statement in India

Schedule-VI of Companies Act,1956 providing the Format of Financial statement