For the management of several companies within a corporate group, consolidate accounts are invaluable.
A cash flow statement can be used to discover where the company or group´s money comes from.
At least once a year, financial accounts must be compiled and presented in an annual report. The annual report is a requirement of the Companies Act, but its value can be much greater. It can also serve as a valuable tool in efforts to market a company, provided, of course, that the figures are correct and the company’s operations are described in an informative presentation.
Perhaps a company is planning on converting to International Financial Reporting Standards, IFRS? The conversion is required before a company can be listed on a regulated market, but the need may also arise under other circumstances, for example if a company is required to report to a foreign parent company.
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