Tag: Accounting concepts

Income Statement – Explanation and Examples

The income statement is a very important financial document. Getting familiar with its contents is a must-have skill for every entrepreneur.

Income statement is the other very important term in accounting (for more information about the first important term – the balance sheet, you can refer to this article: Balance Sheet – Explanation and Examples). It is a financial document that reports how well a company does over a specific period. Most importantly, it contains information about the income and the expenses of the company. And it also shows how much of the income has come from operations and how much from other activities.

In this article I am going to describe what is an income statement. Then, I will cover its parts. And last but not least, I will give specific and easy to understand example.

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Balance Sheet – Explanation and Examples

Learning the basics of accounting is an important step for every entrepreneur. This article describes the balance sheet and gives a example of filling one.

Balance sheet is one of the most important terms in accounting. If you ever want to have your own company, you should learn about it. If you ever want to evaluate a company, you need to know how to read it. In any case this knowledge is important to anybody who wants to be an entrepreneur.

In this post I am going to describe what is a balance sheet and I will give an example that explains how and when you make changes of the balance sheet. This post is for you if you are interested in general knowledge in accounting. If you are already familiar with even basic accounting, you would not learn anything new here.

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