The income statement summarizes a company's financial performance ________ and the balance sheet shows a company's financial position ________.

Question

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The income statement summarizes a company's financial performance over a period of time, usually a month, quarter, or year. On the other hand, the balance sheet shows a company's financial position at a specific point in time, usually at the end of each reporting period. Thus, the best choice is D, which correctly identifies the time frame of each financial statement.

The Income Statement Summarizes a Company's Financial Performance ________ and the Balance