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Article 112 of the Constitution requires the government to present to Parliament a statement of estimated receipts and expenditure in respect of every financial year from April 1 to March 31.

Annual financial statement meaning. Financial statements issued between the annual financial statements are known as interim financial statements. There are three main types of financial statements. The Annual Financial Statement is a document presented to Parliament every financial year as part of the Budget process as required under Article 112 of the Constitution of India.

It represents a formal record of financial transactions taking place in an organization. Any report summarizing the financial condition or financial results of a person or an organization on any date or for any period. The most common set of financials are based on the calendar year but they can also be based on a companys fiscal year.

Sample 1 Sample 2 Sample 3. Many corporations have accounting years that begin on January 1 and end on December 31. An annual report is a corporate document disseminated to shareholder that spells out the companys financial condition and operations over the previous year.

It is a straightforward term which includes the following. Interim financial statements could be prepared for periods such as one month four weeks three months 13 weeks eight months eleven months etc. They include the income statement balance sheet and statement of cash flows.

Financial statements include the balance sheet and the income statement and sometimes the statement of changes in financial position. Annual financial statements are financial reports based on a 12-month consecutive time period. Advantages of Financial Statements Financial Statements are useful for the following reasons.

An income statement or profit and loss report PL report or statement of comprehensive income or statement of revenue expense reports on a companys income expenses and profits over a stated period. Annual Turnover Formula Total Sales of the Trading Company or Total Production of a Manufacturing Company or Total Investments held by Mutual Funds Exchange-Traded Funds etc. One of the most important resources of reliable and audited financial data is the annual report which contains the firms financial statements.

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