Financial statements are an indispensable tool in the business environment as they provide insight into the financial position and performance of the company. Based on the analysis of financial statements, an image of business ventures that companies have had in the past, but also in the present, is created, and based on that, guidelines for future successful operations are defined. The first part of the paper refers to the accounting information subsystem of reporting, which is a central part of the accounting information system of each company. After that, an attempt is made to explain the general ledger, its meaning, and its role in more detail. The updating and closing of the general ledger are followed by the compilation of financial statements that form a central part of the paper. The financial statements comprise the balance sheet, income statement, cash flow statement, statement of any changes in equity and accounting policies, and notes to the financial statements. A separate focus is placed on each mentioned part of the financial report to understand the topic of the paper.