Accounting deeltoets 1
1 Financial Statements
Primary financial statements
Purpose of financial statements today:
1. Show financial position: what does the company own and owe?
2. Accountability towards shareholders and debt investors (e.g. banks): did
management generate sufficient profits and cash?
3. Accountability towards stakeholders: how well does the company serve the
interests of employees, suppliers, customers, governments and society at large?
4. Insight in value creation: provide useful information to determine how much the
business is worth if it would be sold.
5. Use all of this information in management decision-making.
Cash flow statements
What comes in and goes out of your bank
account?
During a certain period
Categorized by nature
Soorten:
Operationele cash flow: activiteiten waarmee je
omzet verkrijgt
o Cash received from customers
o Cash paid to suppliers of raw materials
o Salary paid to employees
Investing cash flow: producten die je gebruikt
om mee te produceren, grote hoeveelheden
o Cash paid to buy a machine
o Cash paid to buy a buidling
o Cash paid to buy another company
Financing cash flow: transacties die niks met de verkoop te maken hebben,
maar wel nodig zijn om het bedrijf draaiende te houden (bijvoorbeeld lening bij
de bank)
o Cash received from borrowing money
o Cash paid to repay a loan
o Interest paid
o Dividend paid
The profit & loss statement:
How much profit for shareholders did you make on the sales transactions you
completed in a certain period?
Makes certain assumptions about when a sale is completed
Makes certain assumptions about which costs belong to which sales
Profit: revenue - expenses what shareholders will get
Om dit goed te doen, moet je de kosten goed koppelen aan de omzet
, Soorten inkomsten & uitgaven:
Operating
o Revenue
o Cost of goods sold (e.g. what
you bought or manufractured it
for)
o Salaries
o Depreciation
o Selling expense
o General and administrative
expenses
Financing
o Interest on bank loans
o Interest from saving accounts
Tax: corporate income tax
Note: dividend paid to shareholders is not an expense. It is a distribution of profit
(from this year/prior years) to the shareholders.
The balance sheet:
What you own and what you owe
But shouldn’t be taken too literally
Assets = what you own
Liabilities = obligations to pay
Equity = how much money the shareholders can take out of the company
Two purposes:
Show financial position: what does the company own and how fast can this be
converted into cash to pay obligations?
Op het moment dat we de kosten toerekenen aan de omzet, moeten we ergens
bijhouden welke uitgaven we in het verleden hebben gehad. De balans is een
soort parkeerplaats voor de winst & verliesrekening. In december heb je een
rekening betaald, wat je past in januari gaat ontvangen. Op de balans heet dit
dan “vooruitbetaalde bedragen”.
Bookkeeping:
Full annual report
Who we are
1 Financial Statements
Primary financial statements
Purpose of financial statements today:
1. Show financial position: what does the company own and owe?
2. Accountability towards shareholders and debt investors (e.g. banks): did
management generate sufficient profits and cash?
3. Accountability towards stakeholders: how well does the company serve the
interests of employees, suppliers, customers, governments and society at large?
4. Insight in value creation: provide useful information to determine how much the
business is worth if it would be sold.
5. Use all of this information in management decision-making.
Cash flow statements
What comes in and goes out of your bank
account?
During a certain period
Categorized by nature
Soorten:
Operationele cash flow: activiteiten waarmee je
omzet verkrijgt
o Cash received from customers
o Cash paid to suppliers of raw materials
o Salary paid to employees
Investing cash flow: producten die je gebruikt
om mee te produceren, grote hoeveelheden
o Cash paid to buy a machine
o Cash paid to buy a buidling
o Cash paid to buy another company
Financing cash flow: transacties die niks met de verkoop te maken hebben,
maar wel nodig zijn om het bedrijf draaiende te houden (bijvoorbeeld lening bij
de bank)
o Cash received from borrowing money
o Cash paid to repay a loan
o Interest paid
o Dividend paid
The profit & loss statement:
How much profit for shareholders did you make on the sales transactions you
completed in a certain period?
Makes certain assumptions about when a sale is completed
Makes certain assumptions about which costs belong to which sales
Profit: revenue - expenses what shareholders will get
Om dit goed te doen, moet je de kosten goed koppelen aan de omzet
, Soorten inkomsten & uitgaven:
Operating
o Revenue
o Cost of goods sold (e.g. what
you bought or manufractured it
for)
o Salaries
o Depreciation
o Selling expense
o General and administrative
expenses
Financing
o Interest on bank loans
o Interest from saving accounts
Tax: corporate income tax
Note: dividend paid to shareholders is not an expense. It is a distribution of profit
(from this year/prior years) to the shareholders.
The balance sheet:
What you own and what you owe
But shouldn’t be taken too literally
Assets = what you own
Liabilities = obligations to pay
Equity = how much money the shareholders can take out of the company
Two purposes:
Show financial position: what does the company own and how fast can this be
converted into cash to pay obligations?
Op het moment dat we de kosten toerekenen aan de omzet, moeten we ergens
bijhouden welke uitgaven we in het verleden hebben gehad. De balans is een
soort parkeerplaats voor de winst & verliesrekening. In december heb je een
rekening betaald, wat je past in januari gaat ontvangen. Op de balans heet dit
dan “vooruitbetaalde bedragen”.
Bookkeeping:
Full annual report
Who we are
