Accounting WAEC

The balance sheet is prepared to reveal?

A. The result of the operations for the period under review
B. The financial position of the business
C. The arithmetical accuracy of the ledger accounts
D. The accruals and payment

Correct Answer: Option B

B. The financial position of the business

Explanation

The purpose of the balance sheet is to reveal the financial status of a business as of a specific point in time. The statement shows what an entity owns (assets) and how much it owes (liabilities), as well as the amount invested in the business (equity).

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