Stephen is looking at a financial statement that shows detailed information about the accounting equation factors. He is looking at the company's
A) T-accounts.
B) income statement.
C) balance sheet.
D) double-entry accounting system.
E) profit-and-loss statement.

Question

Quizplus · Accepted Answer

The balance sheet is the financial statement that shows the accounting equation factors: assets, liabilities, and equity. T-accounts are a way to represent transactions in the double-entry accounting system. The income statement and profit-and-loss statement report revenues and expenses over a period of time, not the accounting equation factors at a specific point in time. The double-entry accounting system is a method of recording transactions, not a financial statement.

Stephen Is Looking at a Financial Statement That Shows Detailed