The ________ is built on the basic accounting equation: Assets = Liabilities + Owner's Equity.
A)income statement
B)sources and uses of funds statement
C)balance sheet
D)cash budget

Question

Quizplus · Accepted Answer

The balance sheet is the financial statement that is built on the basic accounting equation: Assets = Liabilities + Owner's Equity. The income statement shows revenue and expenses over a period of time, while the sources and uses of funds statement shows how cash is flowing in and out of a business. The cash budget is a projection of expected cash inflows and outflows over a specified period of time.

The ________ Is Built on the Basic Accounting Equation: Assets