Define These Terms: Financial Statement,balance Sheet,income Statement,and Audit

Essay

Define these terms: financial statement,balance sheet,income statement,and audit.Explain the use of each.
Financial statement: a summary of some aspect of an organization's financial status.The information contained in financial statements is essential in helping managers maintain financial control over the organization.
Balance sheet: a summary of an organization's overall financial worth (assets and liabilities)at a specific point in time.This document helps managers understand how much their business is worth.
Income statement: a summary of an organization's financial results (revenues and expenses)over a specified period of time.This document helps managers determine the profit or loss over the specific period of time.