7.0 For-Profit and Not-for-Profit Financial Statements

This page provides an overview of the differences in format and structure between the basic financial statements in the for-profit and not-for-profit sectors. It also highlights several of the major accounting principles and standards of not-for-profit accounting necessitated by restrictions associated with the funding sources of not-for-profits.

The Basic Financial Statements

Because most of the material in this section of the site has used for-profit financial statements as examples, we assume familiarity with the for-profit balance sheet, income statement, statement of changes in shareholders’ equity and statement of cash flows.