Whereas the ______ reflects a company's financial situation at a specific point in time,the ____ indicates the flow of resources that reveals the performance of the organization over a specific time period.

A) statement of changes in retained earnings; balance sheet
B) income statement; balance sheet
C) statement of cash flows; income statement
D) balance sheet; income statement

Financial Situation

An individual's or organization's current status in terms of finances, including income, expenses, debts, and assets, determining financial health and stability.

Income Statement

Financial record of a company’s revenues, expenses, and profits over a period of time.

Balance Sheet

Statement of a company’s financial position—what it owns and claims against its assets—at a particular point in time.