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People also ask
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What are the two types of personal financial documents?
Personal financial statements can be for individuals or households, and they commonly include two parts: A balance sheet that lists a person's assets, liabilities, and net worth. An income statement that shows sources of income and total annual income.
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What is the main purpose of a personal financial statement?
Why is a personal financial statement useful? This statement is a tool that can be used to analyze your current financial status, enabling you to track net worth and set financial goals.
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What are the 2 main types of financial statements?
The three main types of financial statements are the balance sheet, the income statement, and the cash flow statement. These three statements together show the assets and liabilities of a business, revenues, and costs, as well as its cash flows from operating, investing, and financing activities.
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What are three main categories of a personal balance sheet 2?
The three main categories of a balance sheet are: Personal assets: Anything owned that has financial value. Personal liabilities: Debts owed. Personal equity: A person's net worth.
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What are two types of personal financial statements?
There are two types of personal financial statements: the personal cash flow statement and the personal balance sheet.
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What is a financial personal statement?
A personal financial statement lists all assets and liabilities of an individual or couple. An individual's net worth is determined by subtracting their liabilities from their assets. A positive net worth shows more assets than liabilities.
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Which of the following are considered to be personal financial statements?
balance sheet and cash flow statement are considered to be personal financial statements. The balance sheet and cash flow statement are considered to be personal financial statements. These personal financial statements note personal activities related to the assets, liabilities, equity, and all cash transactions.
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What are the two types of personal financial statements?
There are two types of personal financial statements: the personal cash flow statement and the personal balance sheet.
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