1 / 10

Income Statements

Income Statements. Entrepreneurship. Income Statement. A summary of a company’s profit/loss over a specific time period. It shows the income earned and expenses paid for a business in the period being recorded. . Income Statement.

una
Download Presentation

Income Statements

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript


  1. Income Statements Entrepreneurship

  2. Income Statement • A summary of a company’s profit/loss over a specific time period. • It shows the income earned and expenses paid for a business in the period being recorded.

  3. Income Statement • Overall, it shows how well the business is doing by showing: • Sales made • Returns • Costs • Unexpected expenses

  4. Key Terms • Revenue • The amount of money that is brought into a company by its business activities. • Example: money paid by customers • Expenses • The outflow of money. It is the costs that a business incurs through its operations to earn revenue. • Example: Employee wages, electricity, etc. Total Revenue – Total Expenses = Net Income

  5. Key Terms • Cost of Goods Sold • The direct costs attributed to the production of the goods sold by a company. Revenue - Costs = Gross Income

  6. Key Terms • Net Income • A company’s total earnings. • Net Loss • When expenses are greater then revenue • Net Income Video

  7. Income Statement Formula Revenue • Cost of goods sold =Gross Income • Expenses =Net Income or Net Loss

  8. Excel Basics • Columns – Vertical (Hint: Colosseum) • Rows – Horizontal (Hint: Road) • Cell - The intersection of a column and row

More Related