Financial Statements & Accounting Financial Terms & Definitions

29 terms in this topic

Financial statements and accounting is a core topic in finance that involves preparing and analyzing records of a company’s economic activities. It includes key reports such as the balance sheet, income statement, and cash flow statement, which are governed by accounting standards like GAAP or IFRS.

N

Net income

Net income is the bottom line of a company’s income statement. It represents the total profit a business earns after…

Full Definition
R

Revenue

Revenue (also called sales, turnover, or the top line) is the total amount of money a company earns from selling…

Full Definition
Net income Net income is the bottom line of a company’s income statement. It represents the total profit a business… Operating income Operating income, also known as operating profit or operating earnings, measures the profit a company makes from its… Retained earnings Retained earnings represent the cumulative portion of a company’s net income that is not distributed to shareholders as… Revenue Revenue (also called sales, turnover, or the top line) is the total amount of money a company earns… Statement of stockholders’ equity The Statement of Stockholders’ Equity is a financial report that explains how a company’s equity changes over a…