A Third Financial Statement,used in Addition to the Income Statement

question 92

Short Answer

A third financial statement,used in addition to the income statement and balance sheet by lenders,is the __________.It is required by FASB and is usually readily available from borrowers.

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Definitions:

Top Down Plans

Planning approach that begins at the highest level of an organization and cascades down, where objectives, strategies, and plans are decided upon at the top and then implemented in successive layers below.

Bottom Up Planning

A planning approach that starts at the operational level, with each segment or department developing its own plans to contribute to the overall strategic goals of the organization.

Aggressive Optimism

A mindset or strategy characterized by a high degree of confidence and assertiveness in action or decision-making, often in the context of investments or business growth.

Conservatism

An accounting principle that dictates reporting expenses and liabilities as soon as possible, but revenue only when it is ensured.