Income Statement Lesson Pdf

Interest on current past due loans 15 400 interest on restructured loans 100 interest on investments 500 loan fees service charges 5 300.

Income statement lesson pdf. Boc hong s in come statement includes all of the major items in the list above except for discontin ued operations. Chapter 4 income statement and related information 4 3 illustration illustration 4 2 presents an income statement for boc hong company. View notes income statement pdf from acct 701 at louisiana state university shreveport. Account amount advertisement expenses 15 500 change in inventory of goods for sale increase 1 200 discount for volume of sale 150 000.

The profit or loss is determined by taking all revenues and subtracting all expenses from both operating and non operating activities this statement is one of three statements used in both corporate finance including financial modeling and accounting. The income statement is one of a company s core financial statements that shows their profit and loss over a period of time. Income statements and balance sheets. At the top of the income statement the first thing you will notice is that it tells you what period the information is for typically a month a quarter or a year.

Sample balance sheet abc credit programme balance sheet as at 31st december 1995 assets liability and. Exercises lesson 4 0809 published universidad de sevilla. The other key thing at the top of the income statement is to tell you whether the amounts shown are actual dollars down to the penny or whether these are truncated numbers. Then we turn to the balance sheet which adds up a business assets and debts.

1 keys to performance lesson 1. This will be explained in greater detail in lesson 3. We first look at the income statement which shows sales expenses and profits or losses. In arriving at net income the statement presents the following subtotals.

Lesson 4 exercise 1 lesson 4 the following list of accounts for company jan ltd. Income statement exercises and. Is available at the end of 200x. A lesson to help students understand the structure of the income statement very basic.

This is a top to bottom look at two reports that show how well management is doing its job of creating wealth for shareholders.