FILL -IN the APPROPRIATE FINANCIAL STATEMENT for each below., that is, INCOME STATEMENT, BALANCE SHEET AND/OR STATEMENT OF CASH FLOWS. Some of the questions can be answered using one or more of the statements but all you have to identify is one of them!

The income statement reports your sales and expenses and indicates whether you made a profit over a particular period of time. The balance sheet shows the assets and liabilities of a company as well as its owners equity at a specific point in time. The statement of cash flows tells us where cash came from and where it went during a particular period of time.

The following table lists some questions that can be answered using financial statement information and indicates the statement that would be most helpful in answering the question.

Questions	Financial Statement	Why is the statement helpful?
How much of every sales dollar is used to pay for the cost of goods sold?		Shows cost of goods sold and sales (which can be used to calculate the needed figure)
How much cash do I have?		Shows cash balance Also shows cash balance
How much did I pay in salaries		Shows salaries expense
How much do I owe?		Shows liabilities
Did I operate at a profit or a loss?		Bottom line is net profit or net loss
Did I generate cash from operations?		Shows cash inflows from operations
How much did it cost me to borrow money this year?		Shows interest expense
How much have the owners invested in the business?		Shows owners equity
Did I pay back any loans this year?		Shows funds used for loan repayment (a financing activity) Shows balances in loan accounts
How much inventory do I have?		Shows amount of inventory
Did I pay income taxes this year?		Shows income tax expense
How much money do my customers owe me?		Shows balance in accounts receivable
How much of my equipment was charged to expense this year?		Shows depreciation expense Shows accumulated depreciation (so can determine change from last year)
How much do I owe to my suppliers?		Shows accounts payable
Did I buy any equipment this year?		Shows cash used for investing activities Shows balance in equipment account