Question

What is Final Accounts? (Answer in one sentence)

Answer 1

Final accounts gives an idea about the profitability and financial position of a business to its management, owners, and other interested parties. All business transactions are first recorded in a journal. They are then transferred to a ledger and balanced. ... It determines the financial position of the business.

Answer 2

Final accounts are a concept in accounting that refers to the final balance of the case at the conclusion of the accounting period from which the accounts are obtained.

• A balance sheet represents the financial position. The final accounts are usually prepared as final accounts at the end of the year.
• Final accounts can therefore refer to the final balance of the trial or the financial statements on which they are based. The primary financial statements are the statement of income, balance sheet and cash flow statement.