Balance sheet
Trial balance
Trading account
Profit and loss account
Answer is Right!
Answer is Wrong!
The correct answer is: A. Balance sheet
A balance sheet is a financial statement that reports a company’s assets, liabilities, and equity at a specific point in time. It is one of the three main financial statements, along with the income statement and the cash flow statement.
Assets are resources that a company owns and expects to benefit from in the future. Liabilities are obligations that a company owes to others. Equity is the difference between a company’s assets and its liabilities.
The balance sheet is a snapshot of a company’s financial position at a specific point in time. It is used to assess a company’s financial health and to track its progress over time.
The other options are incorrect because:
- A trial balance is a list of all the accounts in a company’s general ledger and their balances. It is used to check the accuracy of the accounting records.
- A trading account is a financial statement that reports a company’s revenue and expenses from its trading activities.
- A profit and loss account is a financial statement that reports a company’s revenues, expenses, and net income.