what is difference between income statement and balance sheet

The income statement and balance sheet are two essential financial statements, but they serve different purposes. The income statement shows a company's revenues, expenses, and profits over a specific period, reflecting its financial performance. In contrast, the balance sheet provides a snapshot of a company's financial position at a given point in time, listing its assets, liabilities, and equity. While the income statement tracks performance over time, the balance sheet illustrates the company's overall financial health at a specific moment.