Statement forms are generally used for a variety of purposes. Based on several samples given on our website, these are divided into different categories based on the kind of statement these are useful for. As per the examples given, we will explain the relevance of each statement form and what they’re being used for. Users who need these samples can check on each category and find what they can use as a basis to draft their own statements based on their specific requisites.
For other uses, we also have Sample Forms for employee declarations. These can be used as guides to any employee who need to fill out forms that can be used for their employment and tax requirements. These are all free for downloading and can be printed for individual purposes.
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All companies are required to have financial statements as mandated by law and required by the government’s tax agency such as the U.S. government’s Internal Revenue Service (IRS). These are for the government’s auditing service to accurately determine each company’s tax, financing, and investing capabilities. These include income statements, balance sheets, and cash flows. Financial statements are practiced worldwide in adherence to Generally Accepted Accounting Principles (GAAP). This is especially useful for businesses who have overseas operations. This way, a continuity of information and presentation are ensured even in international arrangements, ensuring smoother financial transactions and notifications across any country’s borders.
In this regard, one of our first template samples for financial statements are that of profit and loss statement (P&L) forms. A profit and loss statement is one of the prerequisites of a financial statement where revenues, costs, and expenses of each fiscal quarterly tax calendar are summarized. A profit and loss statement records accurate information on a company’s ability to either make a profit or incur a loss in its operation. This is also done to gauge increase of revenue and cost reduction. As required by the government’s internal revenue service, a profit and loss statement is one of three financial statements each company is required to issue on an annual and quarterly basis along with the balance sheet and cash flow statement.
A profit and loss statement, therefore, is an important indicator of a company’s revenue and operating costs. Remember that it’s not always every year that business is profitable. Oftentimes, net earnings and spendings become unequal with operating costs increasing every year. A company’s revenue may be growing, but the expenses grow at an even faster rate.
As indicated in the samples, a profit and loss statement can be broken down to the following details:
Based on the P & L structure, companies will be able to determine whether they’re making any money. It’s an essential tool for monitoring operations. This way, a company’s accountant (or bookkeeper) can raise a red flag and give owners timely warning on the revenues and expenses and if adjustments have to be made.
For other kinds of template samples, we also offer Personal Business Letters and Application Letter examples for users who may find these helpful when drafting their own letters in job applications and for their individual transactions for these purposes.