The four financial statements - QS Study
QS Study

The four financial statements

Companies prepare four financial statements from the summarized accounting data:

  1. Income Statement: An income statement presents the revenues and expenses and resulting net income or loss for a specific period of time.
  2. Owner’s Equity Statement: An owner’s equity statement summarizes the changes in owner’s equity for a specific period of time.
  3. Balance Sheet: A balance sheet reports the assets, liabilities and owner’s equity at a specific date.
  4. Cash Flow Statement: A statement of cash flows summarizes information about the cash inflows (receipts) and outflows (payments) for a specific period of time.