Lesson 03
Financial Statements Simulation Hub
This interactive tool demonstrates how business transactions flow through the accounting cycle and impact all four primary financial statements in real-time. Observe the interconnectedness of the Income Statement, Statement of Changes in Equity, Balance Sheet, and Statement of Cash Flows.
Interactive
Transaction Simulator
Select a transaction below to see its immediate and cumulative impact on the accounting equation and all financial statements.
Assets
₹0
=
Liabilities
₹0
+
Equity
₹0
Live output
Financial Statements Overview
All four statements update simultaneously as you click transactions above.
Income Statement
| Item | Amount (₹) |
|---|---|
| Revenue | 0 |
| - Rent Expense | 0 |
| - Salary Expense | 0 |
| - Utilities Expense | 0 |
| Net Income | 0 |
Statement of Changes in Equity
| Item | Capital ($) | Retained Earnings ($) |
|---|---|---|
| Opening Balance | 0 | 0 |
| + Owner Investments | 0 | |
| Profit / Loss for the year | 0 | |
| - Dividends | 0 | |
| Ending Balance | 0 | 0 |
| Total Ending Equity | 0 | |
Balance Sheet
| Item | Amount (₹) |
|---|---|
| ASSETS | |
| Cash | 0 |
| Accounts Receivable | 0 |
| Supplies | 0 |
| Equipment | 0 |
| Total Assets | 0 |
| LIABILITIES & EQUITY | |
| Accounts Payable | 0 |
| Bank Loan | 0 |
| Total Liabilities | 0 |
| Capital | 0 |
| Retained Earnings | 0 |
| Total Equity | 0 |
| Total Liabilities & Equity | 0 |
Cash Flow Statement
| Item | Amount (₹) |
|---|---|
| Cash Flows from Operating Activities | |
| Net Cash from Operations | 0 |
| Cash Flows from Investing Activities | |
| Net Cash from Investing | 0 |
| Cash Flows from Financing Activities | |
| Net Cash from Financing | 0 |
| Net Change in Cash | 0 |
| Beginning Cash Balance | 0 |
| Ending Cash Balance | 0 |