Ethical Obligations and Decision-Making in Accounting 2nd Edition by Steven Mintz, Roselyn Morris

Exercise 10

Create your own “financial shenanigan” and explain how it might work. Do not use the shenanigans described by Schilit.

Step 1 of 2

Financial statement:

The financial statement is the statement of the company position at a particular time period.

Every company prepares four types of financial statement:

1. Income statement (Profit and loss statement)

2. Statements of owner’s equity

3. Balance Sheet

4. Cash flow statement.