“Business Library” titles are written especially for men and women starting a company or managing a small-to-medium-size business. Emphasis is on practical problem solving, with examples based on realistic business situations.

This updated volume presents examples and discussion of the basic financial statements: the balance sheet, the income statement, and the statement of cash flows, as well as other commonly used business documents. Beginning with fundamentals of financial reporting this edition brings the financial statements and their related jargon into focus with clear explanations that allow users to assess the financial health of a business.