Income statements are often prepared ________.

Question

Quizplus · Accepted Answer

Income statements are typically prepared monthly for internal use in order to monitor the financial performance of a company. They are also prepared on a quarterly basis for external reporting to investors, creditors, and other stakeholders. Annual income statements may also be prepared for both internal and external use, but monthly and quarterly statements provide more frequent and timely information for decision-making.

Income Statements Are Often Prepared ________