Final answer:
The adjusted trial balance provides account balances reported in the balance sheet and income statement.
The answer is option ⇒1 and 3
Step-by-step explanation:
1. Balance Sheet: The adjusted balances of all assets, liabilities, and equity accounts are reported in the balance sheet. This statement shows the financial position of a company at a specific point in time.
2. Income Statement: The adjusted balances of revenue and expense accounts are reported in the income statement. This statement shows the company's financial performance over a specific period of time.
It's important to note that the adjusted trial balance is prepared before adjusting entries are made, so it includes both the unadjusted and adjusted account balances.
The answer is option ⇒1 and 3