What is the basis for distinguishing between operating and nonoperating items?
Three financial statements: (there are actually 4)…statement of Stockholder' equity Balance Sheet Income Statement Cash flow statement Balance Sheet: personal financial sheet Setting up a balance sheet Assets: the resources of a company Liabilities: amounts owed to creditors Ex. Accounts payable, notes payable ex. cash, equipment, supplies, rent debits always on the left Credits always on the right Stockholder equity part of credits Debits and credits are always equal Assets= Liabilities + stockholder equity What is the signific