Personal financial statements are a good way of measuring our current finances and giving us information about our financial activities.
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The above statement is absolutely true.

Explanation:

Personal financial statements can be helpful in keeping the record of the expenses in different resources. They also help to account for the family income and expenditures and regulate and maintain them.

Making personal financial statements can additionally help with the planning of the budget and show the indication of one’s financial conditions. Keeping the record of groceries, gas, utility bills, rents, taxes, recreation expenses, etc.

And determining the inflow and outflow of cash through the financial statement helps to find the net cash flow. This shows if you are spending more than you earn and can help in regulating the cash inflow and outflow and also control the budget.

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explanation:

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