Final answer:
To evaluate a company's cash level adequacy at the end of a period, the Cash Flow Statement should be used, as it details the company's cash inflows and outflows, showing how the final cash balance was reached.
Step-by-step explanation:
To assess the adequacy of a company's level of cash at the end of the period, the best financial statement to use is the Cash Flow Statement. The Cash Flow Statement provides detailed information about the cash generated and used by a company over a period of time, including the final cash balance. It showcases the cash inflows and outflows from operating, investing, and financing activities, helping users understand the liquidity situation of the company. While the Balance Sheet shows the amount of cash at a specific point in time, the Cash Flow Statement gives insight into the movements leading to that balance. Neither the Income Statement nor the Statement of Retained Earnings provide specific information about the liquidity or changes in cash levels.