Which Financial Statement Is Prepared First

question 105

Multiple Choice

Which financial statement is prepared first?

• A)Balance sheet
• B)Income statement
• C)Retained earnings statement
• D)Statement of cash flows

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Definitions:

Business Organization

Refers to the structure and mechanisms through which a business operates and is governed, including sole proprietorships, partnerships, and corporations.

Life Expectancy

The average number of years a person is expected to live, based on statistical averages for a particular population or region.

Creative Destruction

a concept in economics which suggests that new innovations continually destroy old industries or practices, making way for new growth and advancements.

U.S. Business

Refers to commercial, industrial, or professional activities conducted within the United States aimed at generating profit or economic growth.