Class Discussion 2

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This is a question from my finance class. I need 150 words in your own words. If not please cite and give a reference No Plagiarism Please.

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Let us assume that we have been in business for a year and have a complete set of financial statements. We need to go to a bank now and establish a line of credit (something I will address a bit later in the week). What do we need with the financial statements that will make them credible? As a hint, this also works as a control in an organization..

Class, since I threw a term out there and we are concerned with cash flow, what do I mean about controls? This is actually a very important concept when trying to secure sources of funding.

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