A statement of changes in equity is reviewed regularly so that a business can compare how it is doing financially against the initial estimates for the year. True False

Answer 1

True.

A statement of changes in equity provides information about the movements in equity accounts over a specific period, including contributions from owners, distributions to owners, and the effects of profit or loss on retained earnings. Reviewing this statement regularly allows a business to assess its financial performance against initial estimates and make necessary adjustments.