The Income statement

Cost of goods

The price of the items that a business manufactures or purchases with the intention or resale.

Common Size Income Statement

Vertical analysis whose information has been reduced to a percentage to facilitate comparisons (expressed as a percentage of the value of sales)

The income statement

also known as statement of earnings, the profit & loss statement ( P&L statement), statement of operations

Expenses

the costs of operating a business e.g food and beverage, labour, utilities, advertising, depreciation, taxes

Losses

defined as decreases in assets, increases in liabilities or combi of both

Gains

defined as increases in assets, reduction in liabilities or combination of both

Revenue (turnover)

income a company receives from its normal business activities

P&L Statement

purpose : to provide the users the profitibility of companys operation in a particular period of time