The balance sheet is frequently referred to as
A) an operating statement.
B) the statement of financial position.
C) the statement of cash flows.
D) the statement of owner's equity.

Question

Quizplus · Accepted Answer

The balance sheet is a financial statement that provides a snapshot of a company's financial position at a specific point in time. It reports a company's assets, liabilities, and equity, and is thus referred to as the statement of financial position. It is not an operating statement, which reports a company's revenues and expenses over a period of time, the statement of cash flows, which reports a company's cash inflows and outflows over a period of time, or the statement of owner's equity, which reports changes in a company's equity over a period of time.

The Balance Sheet Is Frequently Referred to as