A financial record of a company's revenues, expenses, and profits over a specific period of time is called the _______________.
A) balance sheet
B) statement of cash flows
C) income statement
D) statement of changes in equity

Question

Quizplus · Accepted Answer

An income statement, also known as a profit and loss statement, is a financial record that shows a company's revenues, expenses, and profits over a specific period of time, typically a quarter or a year. The purpose of an income statement is to provide information about a company's financial performance, particularly how much money it made or lost during the period. A balance sheet, on the other hand, shows a company's assets, liabilities, and equity at a specific point in time, while a statement of cash flows shows how a company's cash balance changed over time. A statement of changes in equity shows how a company's equity balance changed over time due to factors such as dividends and changes in stock ownership.

A Financial Record of a Company's Revenues, Expenses, and Profits