Which of the following represents the proper sequence for preparing the financial statements?
A) balance sheet,statement of owner's equity,income statement
B) income statement,balance sheet,statement of owner's equity
C) income statement,statement of owner's equity,balance sheet
D) statement of owner's equity,income statement,balance sheet

Question

Quizplus · Accepted Answer

The proper sequence for preparing the financial statements is income statement, statement of owner's equity, and balance sheet. This order is based on the flow of information, starting with the company's revenues and expenses (income statement), then moving to the changes in owner's equity over the period (statement of owner's equity), and finally to the company's assets, liabilities, and remaining equity at the end of the period (balance sheet).

Which of the Following Represents the Proper Sequence for Preparing