Income Statement Service Business Example

The income statement for a services company.

Income statement service business example. Let us name the company strauss printing services. Projected income statement abc cleaners year 1 year 2 year 3 revenue residential sales 508 806 596 643 650 256 up sales residential 176 976 207 528 226 176 commercial sales 0 0 0 vehicle cleaning sales. The income statement starts with a heading made up of three lines. Income statement examples income statement provides a summary of all the revenues and the expenses over the time period in order to ascertain the profit or loss of the company and the example of which includes income statement prepared by a company xyz ltd.

The income statement for a service company focuses on cost of sales and expenses. There is no space for inventory because there is no inventory in a service based business. The income statement and the balance sheet report on different accounting metrics related to a business s financial position. The figure shows the company s annual revenues costs and profits for the most recent year as.

The first step of the sample excel sheet income statement includes defining the period of the income statement. Income statement example here is a sample income statement of a service type sole proprietorship business. The second step includes providing the sales for the month. Our income statement is a representation of the company s activities for the month of january.

An income statement summarizes your revenue and costs and shows your net profit in your business plan. Use underlining in your spreadsheet to show that a computation is being performed. The total operating expenses have been pushed out to the third column to show the reader that the 80 200 has been subtracted from the 100 000 to obtain operating income of 19 800. In any business setting finances will be a big topic.

The service company income statement is very basic. Sample business plan income statement. By getting to know the purpose of each of the reports you can better understand how they differ from one. Take a look at how a gift shop called broad street emporium uses income statements to manage business finances.

1 the name of the company 2 the title of the financial statement and 3 the period covered by the report.