In financial accounting, the balance sheet and income statement are the two most important types of financial statements (others being cash flow statement, and the statement of retained earnings). A balance sheet lists assets and liabilities of the organization as of a specific moment in time, i.e. as of a certain date.
- Balance Sheet
- In financial accounting, a balance sheet is a summary of the financial balances of a company at a GIVEN point in time.
AKA Statement of Financial Position
Information it includes: Assets, liabilities, shareholders equity
- Income Statement
- An income statement is one of the financial statements of a company and shows the company's revenues and expenses DURING a particular period of time. Answers the question: Is the company profitable?
- Sales, expenses, earnings per share.