What is another term for an operating statement or an earnings statement?
A) a cash flow statement
B) an income statement
C) a balance sheet
D) a transaction ledger

Question

Quizplus · Accepted Answer

An earnings statement is also commonly referred to as an income statement, which is used to show a company's revenue and expenses over a specific period of time, with the difference being the net income or loss.

Option A is incorrect because a cash flow statement shows the inflows and outflows of cash over a specific period of time, while option C is incorrect as a balance sheet shows a company's assets, liabilities, and equity at a specific point in time. Option D is incorrect as a transaction ledger is a record of individual financial transactions.

What Is Another Term for an Operating Statement or an Earnings