A balance sheet shows flows of income in and expenses out of your finances for a given period of time.

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A balance sheet is a financial statement that shows a snapshot of an individual or organization's financial position at a given point in time. It displays assets, liabilities, and equity, but does not show flows of income and expenses. A statement of income and expenses, also known as an income statement or profit and loss statement, is used to show flows of income in and expenses out over a given period of time.

A Balance Sheet Shows Flows of Income in and Expenses