Net income (loss)appears in which two financial statements?
A)Balance sheet and income statement.
B)Income statement and statement of stockholders' equity.
C)Statement of stockholders' equity and balance sheet.

Question

Quizplus · Accepted Answer

Net income (loss) is reported on the income statement as the difference between revenues and expenses, and it also appears on the statement of stockholders' equity as a component of retained earnings, which is the cumulative result of all past net income (loss) transactions. It does not appear on the balance sheet directly.

Net Income (Loss)appears in Which Two Financial Statements