The Biggest Difference Between the Income Statement and the Balance

Multiple Choice

The biggest difference between the income statement and the balance sheet is:

A) the income statement shows incoming deposits, while the balance sheet shows account balances from the bank.
B) the income statement is submitted to the government, while the balance sheet is shown to investors.
C) the income statement is always more accurate than the balance sheet.
D) the balance sheet represents flows at a point in time, while the income statement reflects flows over a time period.