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As you know there are numerous financial ratios that can be used to evaluate your financial...

As you know there are numerous financial ratios that can be used to evaluate your financial standing. What about financial statements? What can financial statements do for you?

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Financial statements include the income statement, balance sheet, and cash flow statement.
Financial statements are a record of financial activity for a given time period that can be used to assess the company/individuals
financial health. Whether you are a big company or an individual, you can use financial statements to
assess your financial standing.
For example, the income statement gives a good sense of the net income of the entity for a given period.
The balance sheet tells us how much debt the entity has compared to their assets.
The cash flow statement tells us the free cash flow generated by the entity for a given period.
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