The income statement is one of the financial statements that represents the comparison of income and expenses of business has generated over a period of time. We often call as profit and loss account because it shows the incomes and expenses and after deducting the expenses from income we get the profit or loss.
When a businessman starts a business he or she will want to assess the financial performance of the business in a given time.
The following is the basic format of the income statement.
Sales Revenues
Less: Cost of goods sold
Gross profit
Less: Operating Expenses
Profit or loss
With the above format, a businessman can easily put all the revenues and deduct all the expenses from the revenue to get the final profit or loss figure.
The comparative financial statements of Marshall Inc. are as follows.
Use the following income statement and balance sheet for Jim’s Espresso:
For 20Y2, McDade Company reported a decline in net income.
The general ledger of the Karlin Company, a consulting company,
The comparative balance sheet of Navaria Inc. for December 31,
Desrosiers Ltd. had the following long-term receivable account balances
Todrick Company is a merchandiser that reported the following information based on
Refer to information in QS 6-6. Prepare an income
Abbott Equipment leased a protein analyzer to Werner Chemical, Inc.
Selected accounts and related amounts for Clairemont Co. for the
