The Annual financial statements is the commercial legal conclusion of a fiscal year. It basically consists of the Balance sheet and profit and loss statement (P&L). In the case of capital companies, an annex is usually also included. It serves to present the economic conditions and results of a company.
What is a Annual financial statements?
With them Annual financial statements, the results of Bookkeeping the year end are combined.
It Balance sheet represents assets, liabilities and equity at a specific date. It, on the other hand, profit and loss statement records the revenues and expenses of the fiscal year.
In addition to the ongoing bookings, necessary closing entries and evaluations are also Annual financial statements included.
What components are included in the Annual financial statements?
The basic components include:
- Balance sheet: Presentation of the assets and capital structure as of the reporting Bilanzdate.
- profit and loss statement (P&L): Comparison of revenues and expenses to determine the annual result.
- Appendix: Additional information and explanations, insofar as legally required.
Micro-capital companies may, under certain legal requirements, omit an annex if the necessary information Balance sheet is provided under the annex.
Who needs to Annual financial statements set one up?
According to § 242 German Commercial Code HGB(), merchants are generally required to keep Jahresabschlussrecords, unless a statutory exception applies. Supplementary regulations apply to capital companies pursuant to § 264 HGB.
Non-accounting-required entrepreneurs can determine their profit under certain conditions through an Cash-basis income statement EÜR(). This is not a commercial law requirement Annual financial statements.
Annual financial statements and Annual financial statementspreparation – what is the difference?
The Jahresabschlusspreparation includes, in particular, the coordination of ongoing activities Bookkeeping, the clarification of open positions and the compilation of the necessary Bookkeepingdocuments.
The actual creation of Jahresabschlussthe report also includes the necessary closing entries as well as decision-making regarding Bilanzaccounting and valuation.
Relationship with the Financial accounting
Financial accounting A complete and comprehensible data basis for the Annual financial statements.
It Brasser Accounting Solutions GmbH supports companies as Service provider for ongoing Bookkeeping in the organizational Jahresabschlusspreparation. The necessary accounting data and documents are Tax advisor provided in close coordination with the responsible party.
