Like any whole object, financial statements also have component parts. These parts are also referred to as the elements of financial statements. Each element presents information that meets the objective of financial statements. There are elements about financial position, and there are elements about performance. Transactions and events are recorded, summarized, and reported under each element to constitute a set of financial statements. A thorough understanding of the elements, their defintions, nature, and characteristics is necessary in the study and practice of accounting.
Runtime Approx 150 mins (this complimentary course expires in three days); Learners Accounting students, entrepreneurs, non-accountant professionals; Recommended previous course Concepts of Capital and Capital Maintenance; Recommended next course Assumptions and Principles.