Which are the major financial statements used in financial reporting?

The major financial statements used in financial reporting are the income statement, balance sheet, and cash flow statement. Each of these statements serves a specific purpose in providing a comprehensive overview of a company's financial performance and condition.

The income statement details a company's revenues, expenses, and profits over a specific period, offering insights into operational efficiency and profitability. The balance sheet provides a snapshot of a company's assets, liabilities, and shareholders' equity at a particular point in time, illustrating the financial position and what the company owns versus what it owes. The cash flow statement tracks the inflows and outflows of cash, highlighting how cash is generated and used across operating, investing, and financing activities. Together, these statements enable stakeholders to assess the overall financial health, performance, and cash management of a company, which is essential for informed decision-making.

In this context, the other options include statements that either misrepresent the titles of major financial statements or incorporate irrelevant reports such as audit reports or profit statements, which do not form the core framework of financial reporting as per standard practices and principles.