Which component is NOT typically found on a balance sheet?

A balance sheet provides a snapshot of an entity's financial position at a specific point in time, showcasing what the entity owns and owes. The primary components of a balance sheet are:

• Assets: Resources owned by the company that have economic value. This includes cash, inventory, property, and equipment.

• Liabilities: Obligations that the company has to outside parties, which can include loans, accounts payable, and mortgages.

• Equity: This includes retained earnings, which represent the accumulated profits of the company that have been reinvested into the business rather than distributed as dividends.

Revenue, on the other hand, is reported on the income statement, which outlines the company’s performance over a period of time rather than its financial position at a specific moment. The income statement includes revenues, expenses, and net income, providing insight into how much money the company earned and spent during a particular period. Thus, while revenue is a crucial part of financial reporting, it is not found on a balance sheet, making it the correct choice for this question.