Basic Financial Statements

Question 1

Income Statement

Answer 1

Revenue - Expenses = Net Income

Question 2

Statement of Changes in Equity

Answer 2

The change of the amount of common shares & retained earnings from the beginning to the end.

Question 3

Balance Sheet

Answer 3

Assets = Liabilities + Shareholder’s Equity

Question 4

Cash Flow Statements

Answer 4

The change between the beginning amount of cash to the end amount of cash.