Which financial statement is calculated "for the period" to show specific activity?

The Income Statement is designed to provide a detailed account of a company's financial performance over a specific period. It outlines revenues and expenses during that timeframe and calculates the net income or loss resulting from those operations. This "for the period" nature of the Income Statement enables stakeholders to assess operational efficiency, profitability, and overall financial health within that designated timeframe, which is crucial for decision-making processes.

In contrast, the Balance Sheet reflects the company's financial position at a specific point in time, showing assets, liabilities, and equity without focusing on activity over a period. The Cash Flow Statement tracks cash in and out of the business and can provide insight into liquidity but is also not structured to show activities "for the period" in the same sense as the Income Statement. The Statement of Retained Earnings details changes in retained earnings over a specific duration but does not present a comprehensive overview of income or expenses like the Income Statement does. Thus, the Income Statement is the correct choice for capturing and reporting specific financial activity over a defined period.