Chapter 7 - Presentation and Disclosure of the IASB's conceptual framework indicates that the _____ is the primary source of information about an entity's financial performance for the reporting period.

Question

Quizplus · Accepted Answer

According to the IASB's conceptual framework, the income statement is the primary source of information about an entity's financial performance for the reporting period, as it provides information about an entity's revenues, expenses, gains, and losses. The balance sheet provides information about an entity's financial position at a specific point in time, the statement of owners' equity shows the changes in the owners' equity during the period, and the statement of comprehensive income shows the changes in equity due to other comprehensive income items, but none of these are considered the primary source of information about financial performance.

Chapter 7 - Presentation and Disclosure of the IASB's Conceptual