BUSINESS ADMINISTRATION
FINANCIAL ACCOUNTING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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statement of financial position.
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income statement.
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statement of cash flows.
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statement of retained earnings.
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Detailed explanation-1: -Answer and Explanation: The balance sheet, income statement, and statement of cash flows are most frequently presented to both internal and external use. However, the d. statement of retained earnings is not as frequently provided.
Detailed explanation-2: -The financial statements most frequently provided are (1) the balance sheet, (2) the income statement, (3) the statement of cash flows, and (4) the statement of owners’ or stockholders’ equity.
Detailed explanation-3: -Retained earnings are an equity balance and as such are included within the equity section of a company’s balance sheet.
Detailed explanation-4: -Capital allocation is the process of determining how and at what cost money is allocated among competing interests. The statement of retained earnings is one of the financial statements most frequently provided by public companies.
Detailed explanation-5: -For-profit businesses use four primary types of financial statement: the balance sheet, the income statement, the statement of cash flow, and the statement of retained earnings.