"There are four main financial statements, which include balance sheets, income statements, cash flow statements, and statement of shareholders' equity. The balance sheet shows a company's assets, liabilities, and equity (the difference between the assets and liabilities). The income statement is also called a profit and loss statement, and it tracks how a business' net revenue translates into earnings. Meanwhile, the statement of cash flow shows how cash is moving in and out of the business, while the statement of shareholders' equity reports changes in the value of the shareholders' ownership interest in the company."