Introduction to Final A/cs

By making trial balance, accountant is in the position that he can check the correctness of books of accounts. After this, he can make final accounts more easily.

In simple words, final accounts are those accounts which are made at the end of accounting period and prepared for knowing the profit or loss of business and financial position. These accounts are helpful to achieve the objectives of business by telling correct profit or loss. After this, businessman can take many decisions to improve the present position.

Final accounts are also known as financial statements. Last year final accounts are also helpful to make comparative financial statements.