Asked by Jennifer Marcoccia on May 03, 2024
Verified
When the three sections of a balance sheet are presented on a page in a downward sequence, it is called the
A) account form
B) comparative form
C) horizontal form
D) report form
Report Form
A layout for financial statements where the balance sheet is presented with assets followed by liabilities and equity in a vertical format.
Balance Sheet
A financial statement that provides a snapshot of a company's financial condition at a specific moment, including assets, liabilities, and equity.
- Acquire knowledge on the formulation and constituents of a multiple-step income statement for a merchandising enterprise.
Verified Answer
JP
Jonathan PinelMay 03, 2024
Final Answer :
D
Explanation :
When the three sections of a balance sheet (assets, liabilities, and shareholders' equity) are presented in a downward sequence on a page, it is referred to as the report form. This format is commonly used because it is straightforward and easy to read, presenting the information in a vertical layout.
Learning Objectives
- Acquire knowledge on the formulation and constituents of a multiple-step income statement for a merchandising enterprise.