The financial statement that shows business results in terms of revenue and expenses is
A) an income statement.
B) a balance sheet.
C) a statement of owner's equity.
D) the expanded accounting equation.

Question

Quizplus · Accepted Answer

The income statement shows the revenue (income) earned by a business and the expenses incurred to generate that revenue over a period of time, usually one year. It is also known as a profit and loss statement.

The Financial Statement That Shows Business Results in Terms of Revenue