The time dimension is important in financial statement analysis. The balance sheet shows the firm's financial position at a given point in time, the income statement shows results over a period of time, and the statement of cash flows reflects changes in the firm's accounts over that period of time.

1.True
2.False

Yes it is True that The balance sheet shows the firm's financial position at a given point in time, the income statement shows results over a period of time, and the statement of cash flows reflects changes in the firm's accounts over that period of time.

Explanation:

The balance sheet is a financial statement that provides a vivid picture of what a company owns and owes, as well as the amount invested by shareholders.  This is the company's financial position.

The income statement summarizes a company's revenues and expenses over a period, either quarterly or annually. This is the company's results.

The cash flow statement reflects the actual amount of money the company receives. It is meant to provide information about cash receipts, cash payments, and the net change in cash resulting from the operating, investing, and financing activities of a company during the period.