Remember how you were asked to make a statement in front of your classmates when you were in high school or college and you have nothing to write but words of gratitude? Well, to tell you honestly, you’ve done a great job. It was most likely a summary statement or a personal statement. Not bad for a starter. Because statements come in different forms and styles.
However, statements can also be used in business. There are cash flow statements and income statements. This is because it can be used in a variety of ways and works effectively when you know what to write. There are certain skills and techniques to be good when it comes to writing statements.
Financial Statement Examples
Personal Financial Statement
Consolidated Financial Statement
Standard Financial Statement
Personal Statements in Excel
Personal Cash Flow Worksheet
Free Personal Statement
Summary Statement Sample
Summary of Financial
What Is a Statement?
A statement is a document that contains any fact or a formal account of something. It is an expression of someone’s views and opinions. This word is so general and vague that it may fit into any field of study or expertise. It can be used in business, research, and academic presentations.
There are different examples of a statement. In a science there is research statement. A teaching statement in education. Mission statement or billing statement in business. And lastly, during events and important occasions, there is the opening statement and closing statement. All these have their respective objective and purpose.
Importance of Statements
It may be hard to point out the exact importance of a statement.
That is because its importance would rely on the subject that it is directed to. Take for example a financial statement. Its importance is on the business entity. Without a financial statement, a company would not know where they stand when it comes to their income and expenses.
However, what we have to consider is that statements are essential in the fact that it provides a brief explanation and presentation of the facts at hand. It expresses in words the essence of a subject or a topic.
Disclosure Statements in Excel
Financial Disclosure Statement
Disclosure Statement on Loan Transaction
Work Statement Examples
Management Needs Work Statement
How Do I Prepare a Personal Financial Statement?
To prepare a personal financial statement you need to establish a goal first. Make sure that your objective is practical in order for you to set realizable steps and actions. Here are the tips on how to prepare a Income statement for personal use.
- Set your objective. Setting an objective should be your priority. This allows you to think of the steps to reach your goal and ensures that every action is in line with your target. According to psychology experts, setting a personal goal helps a person stay focused on the right track.
- Understand your financial capacity. Study and think of your financial status. Before you make your statement, you need to understand your limits. Do not create a statement that is too far from your stand point or impossible to attain. Remember that once you have established your goal, the next steps should guide you further. And knowing your capacity should be your first step.
- Decide on the format you will use. Some prefer to write their personal financial statement on a piece of paper while others use the digital technology to ease their work. If you use pen and paper, make sure that you write legibly and use a legal sized paper or anything that is formal. If, however, you decide to use a computer, you can write your statement in pdf or statement in word.
- Create a graphical representation. Your personal financial statement should include numerical values that corresponds to your estimated goal. So, to track your progress as you go along to realize your financial objectives, use graphs to easily present your data.
- Lay down your financial data. Compare your financial past from your present. Write down your income statement and expenses and try to balance them. Work out what aspect is higher and which one is lower so you know which one to work on.
Income Statement Examples
Consolidated Full Year Income Statement
Blank Income Statement
Cash Flow Statement Samples
Annual Cash Flow
Consolidated Cash Flow Statement
What Should You Include in a Personal Financial Statement?
Your personal financial statement has to incorporate different factors in order for you to reach your goal. You need to understand what is important and highlight it on your statement and weed out the unimportant ones. This allows you to focus on what to work and what needs emphasis. Here are the things you need to include.
- Income Statement. In order to read a Income Statement You need to specify the sources of your income, whether it is a major unit or a secondary. If you are employed, your major source should be your salary and if you do part time jobs, write it as secondary source. You also need to indicate how much so you can keep track of the figures.
- Balance Sheet. This is a statement of your assets and liabilities. This allows you to control these two factors. Understand what you have as your own and anything that generates income. List down if you have any debts and how you can minimize it not to affect your overall finances.
- Cash Flow Statement. This refers to the movement of your money in and out of your pocket. You have to keep a record of it and in order to make a cash flow statement you need to know know whether there is more cash going in than going out.