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Historical financial statement. A financial statement (or financial report) is a formal record of the financial activities and position of a business, person, or other entity. Relevant financial information is presented in a structured manner and in a form easy to understand.istorical financial statement. A financial statement (or financial report) is a formal record of the financial activities and position of a business, person, or other entity. Relevant financial information is presented in a structured manner and in a form easy to understand.
Income Statement. An income statement, sometimes referred to as the statement of profits and losses, reports a business entityâs various revenues, costs and expenses, as well as net income -- the principle element of an income statement. Thus, an income statement is a summary of a business entityâs financial performance during a given accounting period. An income statement normally is organized to cover operating activities, nonoperating activities such as investments, any discontinued operations, and any unusual and infrequent extraordinary events.