The balance sheet is prepared to reveal
The result of the operations for the period under review
The financial position of the business
The arithmetical accuracy of the ledger accounts
The accruals and payment
Correct answer is B
The purpose of the balance sheet is to reveal the financial status of a business as of a specific point in time. The statement shows what an entity owns (assets) and how much it owes (liabilities), as well as the amount invested in the business (equity).