Income Statements Flashcards
0
Q
Shows….
A
The change in wealth over a period
1
Q
Also known as??
A
A profit loss account
2
Q
Includes…
A
Sales, cost of sales, expenses and Net profit
3
Q
How it works…
A
Shows a firms performance by their net profit, by showing the cost of sales and expenses of gaining their revenue.
4
Q
Linked to Statement of financial position?
A
The net profit from income statement is included in the reserves in the statement of financial position
