--- title: "Financial Statements in Langley BC | Year-End Reports" url: https://www.everstonecpa.com/financial-statements-langley description: "Year-end financial statements for Langley BC corporations — compilation engagements prepared for lenders, shareholders and the CRA. Ask for a quote." type: service-in-a-city updated: 2026-10-08 summary: "Year-end statements for a Langley distributor are typically a CSRS 4200 compilation. The number that decides whether they are useful is closing inventory: valued at the lower of cost and net realizable value, counted near the year-end date, and cut off cleanly against purchases and shipments." faq_count: 7 publisher: EverStone CPA Inc., a Chartered Professional Accountant firm registered with CPA British Columbia and CPA Alberta service_area: British Columbia, Alberta, Ontario and Manitoba language: en-CA contact: info@everstonecpa.com · https://www.everstonecpa.com/book-online --- [Home](https://www.everstonecpa.com/) [Year-end statements](https://www.everstonecpa.com/financial-statement-preparation-canada) Langley Year-end statements · Langley # Financial statements for *Langley* distributors and stock-holding businesses Langley’s distribution corridor runs on inventory, the least reliable year-end number: estimated, scattered and feeding cost of sales, so an error moves profit twice. It is part of [EverStone’s work for Langley businesses](https://www.everstonecpa.com/accountant-langley). EverStone prepares [year-end statements](https://www.everstonecpa.com/financial-statement-preparation-canada) for incorporated businesses remotely. [Get My Fixed Quote](https://www.everstonecpa.com/book-online)[Ask a Free Question](https://www.everstonecpa.com/quick-question) **Quick answer:** Year-end statements for a Langley distributor are typically a CSRS 4200 compilation. The number that decides whether they are useful is closing inventory: valued at the lower of cost and net realizable value, counted near the year-end date, and cut off cleanly against purchases and shipments. For a one-owner trades corporation, bookkeeping, payroll and the year-end T2 with statements together usually run $500–$700 a month. One-owner Langley corporations: bookkeeping, payroll and financial statements with the T2 from $500 to $700 a month. Filings: the T2, Schedule 1, Schedule 50, CCA, the small business deduction, T4 or T5 slips and instalments. One estimate moves the balance sheet, the margin and the borrowing base. ## Why inventory is the number that decides the statements Closing inventory is a balance sheet asset that also sets cost of sales. Overstate it and margin and working capital look stronger; understate it and both fall. No other figure moves two statements at once, so every reader checks it. It is also the figure most often produced by estimate. A warehouse count taken three weeks early and rolled forward on a spreadsheet is not a count at the date, and the gap is where a quiet margin distortion lives. ## Cost, net realizable value and slow-moving stock Inventory is measured at the lower of cost and net realizable value. Cost includes freight in, duty and brokerage, which many small distributors expense, understating inventory and margin. Net realizable value is the selling price less the cost to sell. Slow-moving and obsolete stock fails that second test. Product unsold for three seasons is worth less than it cost, and carrying it at cost inflates the assets a lender lends against. Write it down. The [inventory accounting](https://www.everstonecpa.com/blog/inventory-accounting-bc) guide covers the mechanics. ## Cost formulas, and staying on one Whether cost uses first-in-first-out, weighted average or specific identification for serialized goods, the method must be applied consistently and disclosed. With moving supplier prices, the formula alone can shift margin materially, so an undisclosed mid-stream change ruins comparison between years. Landed-cost allocation needs the same discipline. One container of twenty product lines has one freight and duty bill, and how it is spread sets per-unit margin. Convenient allocations flatter the fastest movers. ## Cut-off: goods in transit and unshipped orders Cut-off asks who owned what on the last day of the year. Goods on the water under FOB shipping-point terms are already the buyer’s inventory and payable; goods staged but unshipped are still inventory; consignment stock at a retailer usually stays on the distributor’s books. Each is easy to state and easy to get wrong when the warehouse and the books use different dates. A supplier invoice booked in the wrong period without its inventory hits margin twice, a common finding when a stock-heavy year end is reworked. ## What an inventory-secured lender wants to see A distributor borrowing on an operating line usually secures it on receivables and inventory, with an advance rate on each. The lender reconciles borrowing-base reports against year-end figures and takes gaps seriously; aged inventory and receivables are typically excluded. Statements showing inventory as one line, with no measurement basis or write-down policy, invite awkward questions at renewal. Disclosing the basis and a stated write-down policy makes the file legible. ## A compilation does not verify the count This matters more for an inventory business than almost any other. A **compilation engagement** under CSRS 4200 presents information management supplies. The accountant does not attend the count, test the valuation or express any opinion or conclusion. It is not an audit or a review. If a lender wants independent comfort on inventory, that is a **review** or an **audit**, with its own cost and timetable. Most owner-managed Langley distributors do fine on compiled statements. A large inventory-secured facility, a new lender or a pending sale often prompts a request for more, and an audit cannot cover a count nobody observed. Decide before year end. ## Working with a remote CPA on a Langley year end EverStone there is no Langley location. Statements, the corporate return and the supporting schedules are prepared remotely from records sent by secure upload link, with video calls when something needs discussing. Nothing requires leaving the warehouse. The work suits incorporated wholesalers, importers, equipment and parts distributors, building-supply businesses and light manufacturers holding raw materials. Related reading: the [Langley small-business CPA](https://www.everstonecpa.com/accountant-langley) page and [accounting for Langley inventory businesses](https://www.everstonecpa.com/inventory-business-accountant-langley). For conversion cycle and margin by line, see [fractional CFO support for Langley distributors](https://www.everstonecpa.com/cfo-services-langley). About this article **EverStone CPA** Prepared and reviewed by a CPA at EverStone CPA, serving businesses in BC, Alberta, Ontario and Manitoba. Updated September 2026 . [About the firm](https://www.everstonecpa.com/about) · [Send an enquiry](https://www.everstonecpa.com/book-online) ## What a year-end file contains What a year-end file contains Statements and the tax return come from one set of numbers — for a business operating in Langley, British Columbia | Component | What it shows | | Balance sheet | What the corporation owns and owes at the year-end date | | Income statement | Revenue and expenses over the fiscal year | | Compilation engagement report | The CPA communication that accompanies compiled statements | | T2 schedules | Schedules 100, 125 and 141, built from the same figures as the statements | | Sales tax where you operate | 5% GST plus 7% BC PST: two registrations, two returns | Source: [What a compilation engagement is](https://www.everstonecpa.com/compilation-engagement-canada). General information, not advice. ## Remote financial statement work EverStone works with Langley businesses virtually. **There is no premises in Langley, and nobody on the ground there.** Calls run by video or phone, paperwork by secure email and e-signature, and statements build from records reviewed all year. An owner’s corporate and personal returns are decided together, and [personal tax in Langley](https://www.everstonecpa.com/personal-tax-accountant-langley) is the other half. The year end this all feeds into is [Langley](https://www.everstonecpa.com/corporate-tax-accountant-langley). None of this works on records that are behind, which is what [bookkeeping in Langley](https://www.everstonecpa.com/bookkeeping-langley) keeps current. Where a lender or an agreement calls for assurance rather than a compilation, the next question is [assembling the working papers through the year](https://www.everstonecpa.com/audit-review-readiness). Common questions ## Langley inventory and statement questions **How close to year end does the stock count need to be?** On the year-end date if possible. A count weeks earlier, rolled forward, inherits every error in the movement records. If that is impractical, document the roll-forward and keep the movement reports. [Ask about your case →](https://www.everstonecpa.com/quick-question) **Should freight and duty be added to inventory cost?** Yes. Cost includes inbound freight, duty and brokerage. Expensing them understates closing inventory and overstates cost of sales in the purchase year, then reverses the next, distorting per-line margin. [See the published fees](https://www.everstonecpa.com/pricing). **What happens to stock that has not sold in two years?** It is written down to net realizable value if lower than cost. Dead stock at full cost overstates assets and margin, and lenders exclude it from the borrowing base anyway. Apply a consistent write-down policy, not ad-hoc adjustments. **Does a compilation confirm my inventory exists?** No. A CSRS 4200 compilation presents figures management provides, with no assurance: no count attendance, no valuation testing. Independent comfort needs a review or audit, which cannot be applied afterwards to an unobserved count. **Is inventory in transit mine at year end?** Check the purchase order terms. Under FOB shipping point, goods on the water at year end are already your inventory and payable; under FOB destination they become yours on delivery. **Do you have an office in Langley?** No. EverStone works online, and Langley engagements are handled entirely remotely through secure document exchange, video meetings and electronic signature. Nothing in preparing a set of year-end statements requires being in the same building, and the arrangement removes the travel from a busy season. **Do you work with businesses outside Langley itself?** Yes. Year-end statements for businesses in Walnut Grove, Willoughby, Brookswood, Murrayville and Fort Langley are prepared exactly as for Langley ones, from the same closed books, at the same fee. ## Related services and local guides Nearby cities, the rest of what we do for Langley businesses, and the reference pages behind this one. [Form T1135: who has to file the Foreign Income Verification Statement](https://www.everstonecpa.com/forms/t1135) [Professional corporation accountant in Langley](https://www.everstonecpa.com/professional-corporation-langley) [Contractor accountant in Langley](https://www.everstonecpa.com/contractor-accountant-langley) [Financial statements in Maple Ridge](https://www.everstonecpa.com/financial-statements-maple-ridge) [Financial statements in Surrey](https://www.everstonecpa.com/financial-statements-surrey) [Financial statements in Vancouver](https://www.everstonecpa.com/financial-statements-vancouver) [GST/HST filing in Langley](https://www.everstonecpa.com/gst-hst-filing-langley) [Payroll in Langley](https://www.everstonecpa.com/payroll-services-langley) [CFO services in Langley](https://www.everstonecpa.com/cfo-services-langley) [Financial statement preparation](https://www.everstonecpa.com/financial-statement-preparation-canada) [Year-end hub Everything due at a corporate year-end](https://www.everstonecpa.com/year-end-hub) [Compilation engagements](https://www.everstonecpa.com/compilation-engagement-canada) [Accountants across British Columbia](https://www.everstonecpa.com/accountant-british-columbia) [British Columbia tax facts](https://www.everstonecpa.com/bc-tax-facts) [Accountants in the Fraser Valley](https://www.everstonecpa.com/accountant-fraser-valley) [Financial statements for lenders](https://www.everstonecpa.com/for-lenders) ### Starting fees Every fee is fixed in writing before any work begins. - **Corporate year-end and T2 return** fixed fee, quoted in writing *This page* - **Monthly bookkeeping, GST/PST filing included** from $325 a month - **Payroll, remittances, T4s and ROEs** included in monthly bookkeeping - **Books, payroll and the year-end T2 together** $500–$700 a month - **Personal tax return (T1)** from $125; self-employed or rental $275–$500 - **Catch-up bookkeeping** from $2,200 per year of records - **Controller or CFO support** controller from $1,650, CFO from $2,750 a month - **One-off advice call with a CPA** $225 plus GST [Get My Fixed Quote](https://www.everstonecpa.com/book-online?service=corporate-tax#enquiry-form) --- Source: https://www.everstonecpa.com/financial-statements-langley Prices: https://www.everstonecpa.com/pricing · Contact: info@everstonecpa.com · https://www.everstonecpa.com/book-online