How to Consolidate Financial Statements

Video Transcript

"This is financial adviser Patrick Munro talking about how to consolidate financial statements. Financial statements are important to have in your possession because what they will do is keep you on track of where you're going financially, and they'll also form the basis of putting your loan package together if you go for a proposal on financing. And to...how to consolidate your financial statements: You have to have, firstly, a balance sheet. A balance sheet is composed of your assets, which is everything you own, your cash positions, your real estate if you have any, your automobile -- things of that nature. Things that you own that make up your wealth. Additionally, you have a liabilities column, and that's the liabilities that are against the assets that you do have. And that makes for your net worth. If you have real estate, there'll be depreciation schedules in your statements, there'll be income statements. There's various statements that do exist that make up the package of loan documents or documents that you do have. And the way to do that is to consolidate them all into one package. And this can also be done online through Internet software. This is financial adviser Patrick Munro talking about how to consolidate financial statements."