IntroductionFinancial accounting which involves reporting and summarizing business transactions and provides accurate financial ratios or financial statements such as overall income and financial position (Averkamp, ​​2014). However, if you invest in a business and want to make more profits, you need to analyze the company's financial balance sheet before making a decision. This essay will explain that the financial statements between two companies cover the four-year statement of comprehensive income and the four-year statement of financial position. Then the answer will be given as to what is the best way to invest. Definition Comprehensive income is the change in the company's net worth (net worth) over a period of time resulting from transactions with owners. All statements such as recognized expenses and revenues. Comprehensive income has a good example: losses or profits on foreign currency transactions. The purpose of the comprehensive income statement shows that the results and financial performance of a specific company managed or other factors during a period (Ready Ratios (2014). Furthermore, according to the financial analysis of the comprehensive income is defined as evaluating operational events and the total sum of all financial situations that have changed the value of the owner's interest in the business. The financial position statement is the same as the balance sheet. Statements are generally used by large and small companies. The financial position reflects this the result of the financial position and the financial state of the enterprise at a specific date, in addition, it will report the difference between their totals and the assets and liabilities of the financial entity (Averkamp, ​​​​2010)... half of the document.. .... between redemption and issues of share capital, net profit or loss, which must be recognized in equity Secondly, the cash flow statement is mainly related to the financial position of the cash flow, due to it analyze the part of the balance sheet which represents the changes in the balance of cash and cash equivalents, the effect of capital reserves and debt. Conclusion To summarize, this essay has illustrated the similarities and differences between the statement of comprehensive income and the statement of financial position, and the relationship of both. There has been some debate about what the best calculation method is when investing in a business. Personally speaking, the cash flow statement is the most effective method of explaining a company's financial situation. However, another equally sensible comprehensive income statement is indispensable, because the financial position is based on the income statement.