If sales is greater than expenses it is net income
If sales is lesser that expenses it is net loss
As of February 15, 2019
Dr. Cr. Balance
Revenue : P 4,500
Total Revenue P 4,500
Raw Materials 700
Office Equipment 500
Total Expenses 1,200
Net Income /loss P 3,300 net income
What is the purpose of income statement?
The income statement shows which of the following?
How to compute income statement
For example sales - purchase = total - expense = net income
Supply and Demand
When supply goes up, demand goes down and vice versa.