Definition
A statement is a term with broad applicability in various fields including finance, accounting, and computing. It typically refers to:
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Financial Transactions Summary: A summary for customers of the transactions that occurred over the preceding month (or other period). For example, a bank statement lists all deposits and withdrawals, as well as the running account balances.
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Business Financial Document: A document drawn up by businesses to show the status of their assets and liabilities and the results of their operations as of a certain date. This is often referred to as a financial statement.
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Computer Programming Instruction: In a computer program, instructions that make up one unit of the program. Each line of the program is a statement.
Examples
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Bank Statement:
- Lists all financial transactions including deposits, withdrawals, and fees.
- Shows the opening and closing balance for the period.
- Provides details useful for reconciling one’s own records.
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Financial Statement:
- Income Statement: Reports revenue, expenses, and profit over a period.
- Balance Sheet: Shows assets, liabilities, and shareholders’ equity at a specific point in time.
- Cash Flow Statement: Details cash inflows and outflows over a period.
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Programming Statement:
- Example in Python:
print("Hello, World!") - Example in JavaScript:
var x = 10;
- Example in Python:
Frequently Asked Questions
What is the purpose of a bank statement?
A bank statement provides a detailed summary of all transactions that occurred in an account over a designated period. It helps customers track their spending, check for unauthorized transactions, and reconcile their own financial records.
How often are financial statements prepared by businesses?
Financial statements are prepared periodically, typically on a quarterly and annual basis, to provide stakeholders with insights into the company’s financial condition and operating results.
Are all lines of code in a program considered statements?
Yes, in most programming languages, each line of code or instruction is considered a statement that forms part of the overall program.
What types of financial statements are there?
Common types of financial statements include the income statement, balance sheet, and cash flow statement. Each provides different insights into an organization’s financial health and performance.
How can I access my bank statement?
You can usually access your bank statement through online banking portals, mobile banking apps, or by requesting a physical copy from your bank.
Related Terms with Definitions
- Financial Statement: A record that shows the financial activities and position of a business, person, or other entity.
- Balance Sheet: A financial statement that reports a company’s assets, liabilities, and shareholders’ equity at a specific point in time.
- Income Statement: A financial document that reports a company’s revenues and expenses over a specific period.
- Cash Flow Statement: A financial report that indicates the cash generated and used during a specific period of time.
- Programming Instruction: A code statement in a programming language that performs a specific action.
Online References
- Investopedia - Financial Statements Explained
- Wikipedia - Financial Statement
- Investopedia - Bank Statement
Suggested Books for Further Studies
- “Financial Statements: A Step-by-Step Guide to Understanding and Creating Financial Reports” by Thomas Ittelson
- “Intermediate Accounting” by Donald E. Kieso, Jerry J. Weygandt, and Terry D. Warfield
- “Accounting Made Simple: Accounting Explained in 100 Pages or Less” by Mike Piper
- “Python Crash Course” by Eric Matthes
- “JavaScript: The Good Parts” by Douglas Crockford
Fundamentals of Statement: Accounting, Finance, and Software Development Basics Quiz
Thank you for exploring the detailed definitions and applications of statements in various fields! Keep advancing your understanding of these critical concepts through continued study and practice.
