Simple Simplified Income Statement

In some cases an income statement cannot possibly present all the desired expense detail.

Simplified income statement. For most small businesses a simple income statement is sufficient for internal reporting. The alternative is the single-step income statement which totals both operational and nonoperational profits and expenses in one swoop to arrive at the net income or loss. Income Statement also known as Profit Loss Account is a report of income expenses and the resulting profit or loss earned during an accounting period.

The income statement is one of three statements. This format is most commonly used by businesses that have relatively simple operations with few line. Total Recreation Expenditures H.

If its a negative number the business reports a loss. Tax or taxation is actually shown in a simplified way in that income statement as it is a single-step income statement. Edit with Office GoogleDocs iWork etc.

The single-step income statement presents information in a simplified format. Total Income Taxes - B. To solve this problem a company includes only the totals of components in the statement of income.

A simple or basic income statement may only include income expenses and net profit or loss. Ad Find Income Statement Template. A single-step income statement is a little more straightforward.

The Income Statement is one of a companys core financial statements that shows their profit and loss over a period of time. Heres an example single-step income statement we created for another hypothetical company Dead Simple Coffee Inc. Ad Find Income Statement Template.