The Income Statement Reports

The cost incurred by the business over a period e g.

The income statement reports. The income statement measures profitability and not cash flow. The dividends declared and paid by a corporation in the most recent year will be reported on these financial statements for the recent year. Revenue generated from the sale of goods and services. Not surprisingly the income statement is also known as the profit and loss statement.

What the business has earned over a period e g. Statement of cash flows. The following trial balance is prepared after preparation of income statement for f. The auditors report consolidated financial statements and notes to the financial statements provide the required information for a complete financial presentation in accordance with u s.

An income statement is one of the three along with balance sheet and statement of cash flows major financial statements that reports a company s financial performance over a specific accounting. Sales revenue dividend income etc. The income statement s primary purpose is to show the financial performance of a business. Statement of comprehensive income.

The income statement is one of a company s core financial statements that shows their profit and loss profit and loss statement p l a profit and loss statement p l or income statement or statement of operations is a financial report that provides a summary of a over a period of time. An income statement reports the following line items. An income statement also called a profit and loss statement lists a business s revenues expenses and overall profit or loss for a specific period of time. Green as at 31 march 2015 in both horizontal and vertical style.

Green as at 31 march 2015. Income tax payable 39 638 5 800 accrued liabilities 13 100 9 900. The income statement is a report showing the profit or loss for a business during a period as well as the incomes and expenses that resulted in this overall profit or loss. Income statement also known as the profit and loss statement reports the company s financial performance in terms of net profit or loss over a specified period income statement is composed of the following two elements.

The profit or loss is determined by taking all revenues and subtracting all expenses from both operating and non operating activities. Prepare balance sheet for f. Preparation of balance sheet horizontal and vertical style. Where dividends appear on the financial statements.

In the context of corporate financial reporting the income statement summarizes a company s revenues sales and expenses quarterly. In the absence of information about the date of repayment of a liability then it may be assumed.