Question

What are the two major types of Reports in QuickBooks? (Ch.6) a) Balance Sheet and Profit and Loss Statement b) Income Statement and Cash Flow Statement c) Sales Report and Inventory Report d) Tax Report and Audit Report

Answer 1

The two major types of reports in QuickBooks are the Balance Sheet and the Profit and Loss Statement. The Balance Sheet shows a company's financial position at a specific point in time while the Profit and Loss Statement shows income and expenses over a period.

Step-by-step explanation:

The two major types of reports that QuickBooks generates for users are the Balance Sheet and the Profit and Loss Statement.

The Balance Sheet displays what a company owns (assets), owes (liabilities), and the net value (equity) at a specific point in time. For example, if a company wants to see its financial position on December 31, 2021, it would run a Balance Sheet for that date.

The Profit and Loss Statement, also known as an Income Statement, shows revenue, expenses, and profits over a specified period. For example, if a company wants to assess its revenues and expenses for the year 2021, it would generate a Profit and Loss Statement for that year.

Learn more about QuickBooks Reports