Balance sheet, the income statement and cash flows statement
What are the time dimensions of the balance sheet, the income statement and the statement of cash flows?
Expert
The income statement is just like a video. It calculates a firm's profitability over some period of time (which can be a month, a year, or a week or any other time period).
The balance sheet is similar to a still photograph. It shows the firm's equity, liabilities and assets at a particular point in time.
When cash flow statement just like the income statement compared to a video: It explains how cash flows into and out of an organisation over a given time period.
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