What is it?
Sections of the Income Statement
Heading- Company Name, Accounting Period
Revenue- The amount of money a company brings in
Expenses- Costs to run the company
Net Income- The amount of Profit/ and or Loss a Company has.
What does it report?
Sections of the Statement of Changes in Owner’s Equity:
Heading- Accounting Period, Starting Balance
Beginning Capital- The beginning balance of a company for that accounting period, if it’s a new company then it has a balance of $0
Increases in Capital- Would be Net Profit, Investments by the Owner
Decreases in Capital- Withdrawals by Owner
Ending Capital- After all the Increases and Decreases occur the remaining balance
What Does it Report?
Sections of the Balance Sheet:
Heading- States the date
Assets- All the assets that a company has.
Liabilities- List of the company’s Liablities
Owner’s Equity- The number that comes from the Owners Equity Statement