Income Statement
This is the income statement with the standard format. This report follows the Normal Balance of each account. The formulas are as follows:
- Net Sales = Total summation of all Revenue accounts
- Gross Profit = Net Sales – COGS
- Income from Operations = Gross Profit – Total Expense
- Income before Tax = Income from Operations + Other Income – Other Expenses
- Net Income = Income before Tax – Provision for Income Tax
Related Articles: Cash Flow Statement