The balance sheet, the income statement, the cash flow statement, and the statement of stockholders' equity are the four essential financial statements found in an annual report.

True

Explanation:

The four essential financial statements found in an annual report are as follows:

1. All revenues generated and expenses incurred during a given period are reported in the income statement.  

2. The Statement of equity of the stockholder contains the common stock and the retained earnings which could be used to calculate the ending balance.  

3. The balance sheet reports the assets and liabilities of the business

4. And, the statement about cash flow analyzes the cash inflow and cash outflow position of the company

Therefore, the given statement is true.

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