March 2019 Interest income Interest on loans 1.542 1.219 Interest received from reserve deposits 21 Interest received from banks 26 Interest received from money market transactions Interest received from marketable securities portfolio 271 Other interest income Interest expenses (-) Interest on deposits Interest on funds borrowed 943 703 76 Interest on money market transactions 73 Interest on securities issued Other interest expenses 75 17 Net interest income/expenses Net fees and commissions income/expenses Fees and commissions received Fees and commissions paid (-) Divident income Trading income or loss (net) Profit/loss on capital market transactions Profit/losses on derivative financial transactions Foreign exchange profit/loss 599 200 254 54 1 52 11 475 -434 Other operating income 37 Gross profit from operating activities Allowances for expected credit losses (- ) (TFRS 9 applied) Other provison expenses (-) (TFRS 9 applied) Provision for loan losses (-) (TFRS 9 not applied) Personnel expenses ( - ) Other operating expenses (- ) Net operating profit/loss Surplus written as gain after merger Profit/losses from equity method applied subsidiaries Net monetory position gain/loss Profit/loss before taxes from continuing operations Provisions for taxes on income from continuing operations (± ) Net profit/loss from continuing operations Net profit/loss from discontinued operations 889 225 88 113 171 292 27 319 -68 251 Net Profit/Losses 251
Reporting Cash Flows
Reporting of cash flows means a statement of cash flow which is a financial statement. A cash flow statement is prepared by gathering all the data regarding inflows and outflows of a company. The cash flow statement includes cash inflows and outflows from various activities such as operating, financing, and investment. Reporting this statement is important because it is the main financial statement of the company.
Balance Sheet
A balance sheet is an integral part of the set of financial statements of an organization that reports the assets, liabilities, equity (shareholding) capital, other short and long-term debts, along with other related items. A balance sheet is one of the most critical measures of the financial performance and position of the company, and as the name suggests, the statement must balance the assets against the liabilities and equity. The assets are what the company owns, and the liabilities represent what the company owes. Equity represents the amount invested in the business, either by the promoters of the company or by external shareholders. The total assets must match total liabilities plus equity.
Financial Statements
Financial statements are written records of an organization which provide a true and real picture of business activities. It shows the financial position and the operating performance of the company. It is prepared at the end of every financial cycle. It includes three main components that are balance sheet, income statement and cash flow statement.
Owner's Capital
Before we begin to understand what Owner’s capital is and what Equity financing is to an organization, it is important to understand some basic accounting terminologies. A double-entry bookkeeping system Normal account balances are those which are expected to have either a debit balance or a credit balance, depending on the nature of the account. An asset account will have a debit balance as normal balance because an asset is a debit account. Similarly, a liability account will have the normal balance as a credit balance because it is amount owed, representing a credit account. Equity is also said to have a credit balance as its normal balance. However, sometimes the normal balances may be reversed, often due to incorrect journal or posting entries or other accounting/ clerical errors.
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