SchnupperUni: CashCode - What's behind corporate profits
We look into the complex world of corporate finance with the aim of gaining an understanding of how companies earn money and make profits. Why are company profits important? Profits are important for companies because they allow them to grow. They can hire more employees, develop new products or invest to make even better things. Sometimes they also give part of the profits to their owners or shareholders who have invested money in the company in the hope that it will be successful. Are there "profit rules"? The HGB is like a rule book for people who do business. It explains how to properly account for a business so that entrepreneurial transactions can be compared. How do companies report their profits? Disclosing financial statements helps other people to see how well the company is doing, and it ensures that everything is fair and open.