The balance sheet, the statement of cash flows, and the ________ are three key financial statements prepared by accountants.
A) income statement
B) statement of retained earnings
C) statement of changes in financial position
D) trial balance

Question

Quizplus · Accepted Answer

The three key financial statements prepared by accountants are the balance sheet, the statement of cash flows, and the income statement. The statement of retained earnings and the statement of changes in financial position are sometimes prepared, but they are not considered as essential as the other three. The trial balance is not a financial statement, but rather a list of all the accounts with their balances, used to ensure that debits and credits are equal before preparing the financial statements.

The Balance Sheet, the Statement of Cash Flows, and the ________