CFA Level I · CFA Level I Exam · Introduction to Financial Statement Analysis
Under IFRS, which financial statement is most likely to present an entity's assets and liabilities at a specific point in time?
The statement of financial position is the statement that presents assets, liabilities and equity at a specific date. The cash flow statement and the statement of changes in equity describe movements over a reporting period, so they do not give a point-in-time position.
- AStatement of cash flows
- BStatement of financial positionCorrect
- CStatement of changes in equity
Explanation
The statement of financial position (balance sheet) reports assets, liabilities and equity at a single date. The statement of cash flows and the statement of changes in equity cover a period of time.
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