It could be a quarterly income statement.

And this is an annual income statement.

let's do the accrual accounting income statement.

So it could be an annual income statement.

So this kind of the cash income statement,

It's the top line of the income statement.

So this right here you could view as our income statement.

And I won't go into all of the details of an income statement, but any income statement you look at will have this operating profit line.

B is data dependent on A because there is a flow of data from the statement A to the statement B.

And then also how the income statement relates to the balance sheet.

And your bottom line, that's the bottom line of the income statement.

And I'll show you how to do that on an income statement.

In this scenario, this is the income statement, at least as far as we get to the operating income line.

And here we'll literally just take whatever is reported from the income statement.

In particular, you saw interest expense on Jason's business and not on Ben's income statement.

And income statement tells us what happened over a period of time, what was the activity?

This is our income statement for month one on a Cash basis and a Accurual basis

Above this line right over here is the income statement, down here is the balance sheet.

I must have gotten 200 worth of value from someplace and that's what the income statement describes.

So I'm gonna start of, we're gonna focus on month 2 and what I've done is I've rewritten some of this accrual income statement down here so it really looks like a statement so this right here is the income statement for month 2 on an accrual basis.

And actually, in this video, we're going to see how the income statement relates to the balance sheet.

Now I say it's simplified because this is a very simplified income statement for each of these periods.

statement

Statement

And we'll learn later the cash flow statement essentially reconciles the income statement with what happens with your actual cash account, or how things actually move within the balance sheet.

It has two dimensional data such as the age of a person and the person's income and this is obviously made up data.

This is the cash basis of accounting and this is the accrual, and let's just look at the income statement

In the next video, I'll try to reconcile what the Accrual income statement is telling us and the actual cash.

What we did in the first video on this series is we just did one snapshot of the income statement.

So low income here, high income there.

And the income statement is one of the three financial statements that you'll look at when you look at a company.

And we'll focus on that a little bit later because that's a little bit more nuanced relative to the income statement.

statement expected

SQL statement

Statement B.

Your statement

Another kind of statement is the return statement.

Investment income.

So the way you can think about what an income statement is, is it tells you what happens between balance sheet snapshots.

So, for example, in this one, at the beginning of the period, before the 2007 income statement, the asset was worth 50,000.

And what I'm going to do is I'm going to actually write out its income statement over a given number of years.

With a basic income, income becomes a civil right.

The basic income is a different type of income.

Data, data, data...

But at this point, you should have a good understanding of at least a basic income statement of a company that sells widgets.