Which financial statement shows the profitability of a company over a specific period?

The income statement is the financial statement that illustrates the profitability of a company over a specific period. It summarizes the company’s revenues and expenses, ultimately showing the net income or loss for that time frame. This statement is crucial for assessing how well a company generates profit from its operations, taking into account all income earned and expenses incurred within the reporting period.

The balance sheet, on the other hand, provides a snapshot of a company's financial position at a specific point in time, detailing assets, liabilities, and shareholders' equity. It does not reflect profitability over time.

The cash flow statement focuses on the cash inflows and outflows over a certain period, detailing how cash is generated and used in operating, investing, and financing activities. While it offers insights into liquidity and cash management, it does not display profitability directly.

The statement of shareholders' equity outlines changes in the equity portion of the balance sheet over time, reflecting activities like new equity financing, dividends paid, and earnings retained. This statement does not convey the profitability of the company for a specific period either.

Thus, the income statement is distinctly designed to demonstrate profitability, making it the correct choice for this question.