Which of the following financial statements is usually prepared last?
A)Income statement.
B)Statement of retained earnings.
C)Income tax return.
D)Balance sheet.

Question

Quizplus · Accepted Answer

The balance sheet is typically prepared last as it takes into account the information from the income statement and statement of retained earnings, as well as other factors, to provide a snapshot of a company's financial position at a specific point in time. The income statement and statement of retained earnings are typically prepared earlier in the financial reporting process. The income tax return is a separate document that is filed with the government and is not considered a financial statement.

Which of the Following Financial Statements Is Usually Prepared Last