MANAGEMENT

Detailed explanation-1: -Managers are usually held accountable if their part of the company faces financial problems. This is an estimate of the actual money a business received and paid out for a specific period. Identifies the companies from which credit purchase were made.

Detailed explanation-2: -A net loss occurs when a company’s expenses are higher than its total revenue. This can be a sign of problems that need to be addressed. It can, however, also happen because a company has a (relatively) short-term need for more income than it earns.

Detailed explanation-3: -There are three key financial statements managers should know how to read and analyze: the balance sheet, income statement, and cash flow statement. The balance sheet provides a snapshot of a company’s financial health for a given period.

Detailed explanation-4: -The income statement shows a company’s expense, income, gains, and losses, which can be put into a mathematical equation to arrive at the net profit or loss for that time period.