Illustrate the process for moving from transactions to the d
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1 Illustrate the process for moving from transactions to the development of the income statement.
2 The relationship between the balance sheet and the statement of cash flows. In what sense is the statement of cash flows a derivative statement of the balance sheet?
3 The linkages between the income statement and the balance sheet.
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Solution Summary
This solution presents a picture (that differs from any textbook on the market) of how transactions are mapped to the accounting equation and then "fit" into the major financial statements. This visual also shows how the statements are all linked. Examples are given and discussion is included.
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The best way to "show" this is with a picture...open the attached excel sheet. See the blue bolded amounts? That is the ending ...
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