Which of the following statements are true about the balance

Which of the following statements are true about the balance sheet? Select all that apply.

It a snapshot of a company’s assets, liabilities and equity at a specific time in point.

It keeps track of the financial activity of a company over a period of time.

It contains three categories: assets, liabilities and profit.

It shows everything that the company owns and owes.

Solution

Balance Sheet is a financial statement that shows company\'s assets, liabilities and equity at a specific time in point. It also shows what te company owns and owes.

Thus the following statements are true about the balance sheet:

It a snapshot of a company’s assets, liabilities and equity at a specific time in point.

It shows everything that the company owns and owes.