What is shown by Balance Sheet?

Financial position at specific point of time

The correct answer is option 1- Financial position at specific point of time.

The balance sheet, also known as the statement of financial position, is one of the three primary financial statements used by companies to provide a snapshot of their financial health at a specific point in time. Unlike the income statement, which covers a specific period, the balance sheet represents a company's financial position as of a particular date, typically the end of a fiscal year. The balance sheet is crucial for investors, creditors, and other stakeholders as it provides insights into a company's assets, liabilities, and shareholders' equity.