The discussion paper „Preliminary Views on Financial Statement Presentation“ contains the objectives, principles, and implications for the structure of each financial statement and for the disclosure of information. Due to the predominant cohesiveness objective, an entity should present information in its financial statements in a manner that portrays a cohesive financial picture of its activities. Therefore, all financial statements, in general, have to be structured in the same sections. The Board proposes a subdivision of the entities’ activities into the operating, the investing, and the financing category done by the management. According to the proposed cohesive structure of the financial statements, a reconciliation schedule between the cashflow statement and the statement of comprehensive income has to be prepared, and it offers remarkable possibilities for profitability analysis. Additional information about the liquidity, the financial flexibility, and the profitability of the different entities’ activities and information about a sustainable profit or loss are provided to equity holders, lenders, and other creditors. Limitations result from the discretionary potential of...