In which financial statement are temporary accounts closed at the end of the period?

The income statement is where temporary accounts are closed at the end of the period. Temporary accounts include revenues, expenses, gains, and losses that accumulate over a specific accounting period. At the end of this period, these accounts are reset to zero to prepare for the next period's data. The closing process involves transferring the balances of temporary accounts to a permanent account, typically retained earnings, which is reflected in the equity section of the balance sheet.

In contrast, the balance sheet reflects the company’s financial position at a specific point in time, showing assets, liabilities, and equity, but does not close temporary accounts. The cash flow statement summarizes cash inflows and outflows throughout the period and also does not involve closing temporary accounts. The general ledger is a comprehensive collection of all accounts used in the accounting system and is not an individual financial statement where closing entries are reported. Thus, the income statement is distinctly associated with the closing of temporary accounts, signifying the culmination of the accounting cycle for that period.