Financial Statement and Income Statement Case Study.
Introducing here the balance sheet and income statement of the Diamond Gem Cleaning and Maintenance Service Company by going in deep details and estimating the missing values within both the income statement and balance sheet. Moreover, discover of the terminology of each value and provide a narrative about the calculation procedure of each line. Finally, a summery with analysis of the data gathered within both balance sheet and income statement that used to assess the performance of financial strength of the company. Firstly, for the balance sheet which ideally consists of three main parts: assets, liabilities and stockholders’ equity (Collins, 2016). Whereas assets are divided into two categories: current assets and long-term assets (Collins, 2016), the current assets are considered these assets, which planned to be converted into cash within one year (Feldman, 1959). So, the contracts receivable line is a current asset can be obtained by less the value of total cur...
