The income statement-financial statement, Financial Accounting

THE INCOME STATEMENT

It shows the financial performance of the company during the given financial period. It discloses the income and expenses and thus the net profit for the period.

IAS 1 recommends that the income statement can be presented in 2 ways or formats:

a) By classifying by function:

Under this format, the expenses of the company are classified into 5 major categories i.e. Cost of sales, Distribution costs, Administration expenses, Other expenses, Finance cost.

b) Classifying expenses by nature:

Under this format, expenses are not classified by their nature i.e. referred to specifically according to their type and the major categories of expenses

Posted Date: 12/11/2012 11:53:25 PM | Location : United States







Related Discussions:- The income statement-financial statement, Assignment Help, Ask Question on The income statement-financial statement, Get Answer, Expert's Help, The income statement-financial statement Discussions

Write discussion on The income statement-financial statement
Your posts are moderated
Related Questions
Following are Nintendo's revenue and expense accounts for a recent calendar year. Net sales ¥2,008,622 Cost of sales 1,864,981 Advertising expense 118,908 Other expense, net 397

Balance Sheet Classifications and Relationships: Shelley and Co. has the following balance sheet elements as of December 31, 2012. Land. . . . . . . . . . . . . . . . . . . . . . .

provide 5% for doubtful debt what is the journal entry

how do I calculate the adjusting balance

Derivation of Formulas i) Future Value of an Annuity Future value of an annuity is FVA n = A(1 + k) n -1 + A (1 + k) n - 2   + .......A (1 + k) + A     ............

what managers should know about internal rate of return (IRR) and why?

Question A The key functions of financial system are to provide a link between savers and investors. What are the key functions of financial market Question B Describe the me

MarmadukeMuffett once had a girlfriend who ran an antiques business in London'sKings Road. Ever since then, he has been hooked on the furniture trade and now runsMarmaduke'sMarvell

Q. Describe about Trade Test? With a view of perform the work in a trade an artisan staff should have the skill required for the trade and for this Railway workers classificati

I am taking  finance class. Our books is John C. Hull 2nd edition Risk Management and Financial Institutions.  Our HW  are from this book. I have four questions I need help with.