Nancy Fritchner
April is financial literacy month and a good time to talk about basic financial statements. It’s easy, when preparing financial statements, to do what has been done in the past. We take out last year’s financial statements and drop in this year’s numbers. But does that statement tell the reader what he or she needs to know? I suggest that we take some time to think about what could make our financial statements more meaningful to the reader.
My approach in providing basic financial statements has four goals:
Goal 1 - Provide complete and accurate financial information to the reader
It is important that the finances of the parish be transparent. All financial activity should be reflected in the statements and not just the general operating account. To accomplish this, we need an adequate accounting system that is properly maintained. This means that all financial information is entered into the system and there are checks and balances to verify that nothing has been left out.
My approach in providing basic financial statements has four goals:
Goal 1 - Provide complete and accurate financial information to the reader
It is important that the finances of the parish be transparent. All financial activity should be reflected in the statements and not just the general operating account. To accomplish this, we need an adequate accounting system that is properly maintained. This means that all financial information is entered into the system and there are checks and balances to verify that nothing has been left out.
RSS Feed