Which statement covers a period of time and shows revenues earned and expenses incurred?

The income statement is designed to summarize a company’s financial performance over a specific period of time, typically reflecting revenues earned and expenses incurred during that timeframe. This statement provides valuable insights into the profitability of a business by displaying the relationships between revenues and expenses, ultimately leading to net income or loss for the period.

An income statement is essential for stakeholders, including management, investors, and analysts, as it highlights how effectively a company generates profit from its operations. It allows users to assess trends over periods, making it easier to compare financial performance between different time frames or against industry benchmarks.

In contrast, a balance sheet presents a snapshot of a company's financial position at a single point in time, detailing assets, liabilities, and equity, but does not convey performance over a duration. The cash flow statement tracks the movement of cash in and out of the business during a period, focusing on liquidity rather than performance. Lastly, an equity statement typically reflects changes in the owner's equity section, providing information about investments, distributions, and profits retained but not directly reporting on the revenues and expenses incurred during a specific time frame.