Searching for downloadable income statement formats? Are you eager to learn the fundamentals and essentials of an income statement? If your answer is a yes for both questions, what you need is a professional and well-researched income statement format.
Income statements play a key role in the world of business. It is likened to financial statements, which give an overview of the company’s financial performance for a specific accounting period.
We’ve provided you here a list of income statement templates for your reference and use. For some, drafting an income statement can be burdensome and time consuming. To escape from such hassles, you can start scrolling down and learn more about income statements through our samples and formats.
An income statement is also referred as a profit and loss statement. A financial institution, particularly a company’s, deals with major financial statements such as the balance sheet, statement of stockholder’s equity, and the income statement. It does not deal with cash or the money that you’ve paid out.
It measures the company’s profitability and also portrays those areas that need to be given more attention because of the degree of loss. As part of accounting principles, income statement provides the following:
These are just some of the important concepts to know about income statements. A company can add more depending on their accounting technique or strategies. Furthermore, if you want to know the specifics about financial statements and profit & loss Statements, check out the articles we have on our website.
Income statements aim to provide the company owners (or the board of directors, in case of a corporation) with a bigger picture of their profit and losses for a particular financial year. In terms of format, it basically adopts a report-like form. It needs to be straightforward, professional, comprehensive, and must contain relevant and updated figures and information.
There are no fixed rules in terms of format because it varies according to the type of income statement. There are two major types of income statements, namely
There are many types of income statements. It depends on the company’s financial analysts on what type they prefer to use in order for them to come up with financial strategies for the succeeding financial year. If you’re interested with Excel Income Statements, we also have some samples and templates available for you.