Annual accounts

Last updated: 2021-06-21

After each financial year, all companies must make a compilation of the year’s current accounting. This is called annual accounts and aims to provide an overview of how the company performed during the year.

The financial statements consist of two documents:

• Balance report
• Results report

How the annual accounts must be prepared is specified in the Accounting Act, but in short the following is done:

• Balance sheet and profit and loss report are drawn up. When this is done, checks are made to ensure that all balance sheet items are correctly valued and that documentation is available.
• Closing transactions. This refers, for example, to accruals or accounting of the year’s profit and tax.