The statement that presents a summary of the revenues and expenses of an entity is called the:
A) statement of retained earnings
B) income statement
C) balance sheet
D) cash flow statement

Question

Quizplus · Accepted Answer

The income statement presents a summary of the revenues and expenses of an entity over a specific period of time. The statement of retained earnings shows changes in the retained earnings account over a period of time. The balance sheet reports the assets, liabilities, and equity of an entity as of a specific date. The cash flow statement shows the inflows and outflows of cash and cash equivalents of an entity during a specific period of time.

The Statement That Presents a Summary of the Revenues and Expenses