Which of the following is correct concerning the time period reported on financial statements?
A) The balance sheet is reported as of a period of time.
B) The income statement is reported as of a specific date.
C) The statement of owner's equity is reported as of a specific date.
D) The income statement is reported as of a period of time.

Question

Quizplus · Accepted Answer

The income statement reports on the financial performance of a company over a period of time, such as a quarter or a year, showing revenues, expenses, and net income or loss during that time. The balance sheet, in contrast, is a snapshot of a company's financial position at a specific point in time, showing assets, liabilities, and equity. The statement of owner's equity also covers changes over a period, similar to the income statement.

Which of the Following Is Correct Concerning the Time Period