The financial reports comprising the 'final reports' are the:
A) cash flow statement, income statement.
B) income statement, balance sheet, cash flow statement, statement of change in owners' equity.
C) balance sheet, cash flow statement, income statement.
D) income statement and balance sheet.

Question

Quizplus · Accepted Answer

The most comprehensive and common set of final reports includes the income statement, balance sheet, cash flow statement, and statement of change in owners' equity. These reports provide a thorough understanding of the company's financial performance, liquidity, and shareholders' equity. The cash flow statement shows the movement of cash during the reporting period, the income statement shows the revenue and expenses, the balance sheet shows the company's assets, liabilities, and equity as of the reporting date, and the statement of change in owners' equity shows how the equity changed during the period.

The Financial Reports Comprising the 'Final Reports' Are The