Accounting Fundamentals

Income Statement

Gain a comprehensive understanding of the Income Statement, which summarizes a company’s financial performance over a specific time period. You’ll learn to decode how revenue turns into profit and how expenses impact overall earnings.

Topics Covered:

• Revenue – Learn how businesses earn income from products and services, and why revenue is a key metric in assessing growth, pricing strategies, and customer demand.

• Expenses – Explore the major types of business expenses—operating, administrative, and non-operating—and how each influences profitability and decision-making.

• Gross Profit – Understand how to calculate gross profit by subtracting cost of goods sold from revenue and why it's vital for evaluating core business efficiency.

• Net Profit – Analyze how net profit is derived after all expenses and taxes, providing insights into overall financial health and long-term sustainability.