A balance sheet is a financial statement that provides a snapshot of a company's financial position at a specific point in time. It lists assets, liabilities, and shareholders' equity to give insights into the company's financial stability.
Income Statement: A financial statement that shows a companyโs revenues and expenses over a specific period, indicating how revenue is transformed into net income.
Cash Flow Statement: A financial statement that provides aggregate data regarding all cash inflows and outflows a company receives from its operations, investing activities, and financing activities.
Shareholders' Equity: The residual interest in the assets of an entity after deducting liabilities; essentially what is owned by shareholders.