Income Statement Shows Revenues

The first line on any income statement or profit and loss statement deals with revenue.

Income statement shows revenues. The income statement comes in two forms multi step and single step. These two financial statements will provide a great deal of information to help understand the process of evaluating and measuring the financial and operational health of an organization. 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. Also known as the profit and loss statement or the statement of revenue and expense the income statement primarily focuses on the company s revenues and expenses during a particular period.

The exact wording may vary but you can look for terms like gross revenue gross sales or total sales this figure is the amount of money a business brought in during the time period covered by the income statement. The income statement is one of a company s core financial statements that shows their profit and loss over a period of time. The income statement summarizes a company s revenues and expenses over a period either quarterly or annually. Shows the revenues expenses and income or profit an organization has generated over a period of time.