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Expenses include the cost of goods sold (COGS), selling, general and administrative expenses (SG&A), depreciation or amortization, and research and development (R&D).
Typical expenses include employee wages, sales commissions, and utilities such as electricity and transportation.
The three major financial statement reports are the balance sheet, income statement, and statement of cash flows.
The balance sheet provides an overview of a company's assets, liabilities, and stockholders' equity as a snapshot in time.
These transactions also include wages, income tax payments, interest payments, rent, and cash receipts from the sale of a product or service.Financial statements are written records that convey the business activities and the financial performance of a company.
