Get the #WinningEdge with BAT Consulting
•
0 likes•222 views
It's such an exciting time to be in business today, especially in the accounting industry. As a result of new technologies, our world is more connected than ever this is creating new opportunities in all aspects of our business and personal lives. See how BAT Consulting can help you compete and win in this new relationship economy.
Report
Share
Report
Share
Download to read offline
Recommended
Recommended
Income statement definition
An income statement is a financial statement that reports a company's financial performance over a specific accounting period. It is one of the three important financial statements used for reporting a company’s financial performance, the other two being the balance sheet and the cash flow statement. The income statement focuses on the revenue, and expenses reported by a company during a particular period. It provides valuable insights into a company’s operations, the efficiency of its management, underperforming sectors, and its performance relative to industry peers.
The income statement is also known as the profit and loss (P&L) statement or the statement of revenue and expense. It starts with the details of sales and then works down to compute net income and eventually earnings per share (EPS). The income statement does not differentiate between cash and non-cash receipts (sales in cash vs. sales on credit) or cash vs. non-cash payments/disbursements (purchases in cash vs. purchases on credit).
Key income statement items
Revenue is the total amount of money a company earns from its operations, usually from the sale of goods or services. For example, a car manufacturer’s revenue would be the total amount of money it earns from selling cars.
Cost of Goods Sold (COGS) represents the direct costs associated with producing or delivering the goods or services sold by a company. In the auto industry, COGS would include the cost of raw materials, labor, and other expenses directly related to manufacturing vehicles.
Gross Profit is calculated by subtracting the COGS from the revenue.
Selling, General, and Administrative (SG&A) expenses represents the costs associated with a company's non-production activities, such as sales, marketing, and administrative functions. In the auto industry, SG&A expenses would include salaries of sales personnel, advertising expenses, rent for office spaces, and other costs related to running the business.
Depreciation & Amortization: Depreciation refers to the systematic allocation of the cost of a tangible asset over its useful life. Amortization, on the other hand, is the process of spreading out the cost of an intangible asset over its useful life. In the auto industry, depreciation and amortization expenses would include the depreciation of manufacturing equipment, vehicles, and amortization of patents or trademarks.
Interest Expenses represents the costs associated with borrowing money or using credit facilities. Interest expenses are incurred when a company has outstanding debt or loans. In the auto industry, interest expenses would include interest paid on loans used to finance manufacturing facilities or purchase equipment.
This PowerPoint presentation is only a small preview of our Toolkits. For more details, visit www.domontconsulting.comCreating an Income Statement with Forecasts: A Simple Guide and Free Excel Te...
Creating an Income Statement with Forecasts: A Simple Guide and Free Excel Te...Aurelien Domont, MBA
More Related Content
Recently uploaded
Income statement definition
An income statement is a financial statement that reports a company's financial performance over a specific accounting period. It is one of the three important financial statements used for reporting a company’s financial performance, the other two being the balance sheet and the cash flow statement. The income statement focuses on the revenue, and expenses reported by a company during a particular period. It provides valuable insights into a company’s operations, the efficiency of its management, underperforming sectors, and its performance relative to industry peers.
The income statement is also known as the profit and loss (P&L) statement or the statement of revenue and expense. It starts with the details of sales and then works down to compute net income and eventually earnings per share (EPS). The income statement does not differentiate between cash and non-cash receipts (sales in cash vs. sales on credit) or cash vs. non-cash payments/disbursements (purchases in cash vs. purchases on credit).
Key income statement items
Revenue is the total amount of money a company earns from its operations, usually from the sale of goods or services. For example, a car manufacturer’s revenue would be the total amount of money it earns from selling cars.
Cost of Goods Sold (COGS) represents the direct costs associated with producing or delivering the goods or services sold by a company. In the auto industry, COGS would include the cost of raw materials, labor, and other expenses directly related to manufacturing vehicles.
Gross Profit is calculated by subtracting the COGS from the revenue.
Selling, General, and Administrative (SG&A) expenses represents the costs associated with a company's non-production activities, such as sales, marketing, and administrative functions. In the auto industry, SG&A expenses would include salaries of sales personnel, advertising expenses, rent for office spaces, and other costs related to running the business.
Depreciation & Amortization: Depreciation refers to the systematic allocation of the cost of a tangible asset over its useful life. Amortization, on the other hand, is the process of spreading out the cost of an intangible asset over its useful life. In the auto industry, depreciation and amortization expenses would include the depreciation of manufacturing equipment, vehicles, and amortization of patents or trademarks.
Interest Expenses represents the costs associated with borrowing money or using credit facilities. Interest expenses are incurred when a company has outstanding debt or loans. In the auto industry, interest expenses would include interest paid on loans used to finance manufacturing facilities or purchase equipment.
This PowerPoint presentation is only a small preview of our Toolkits. For more details, visit www.domontconsulting.comCreating an Income Statement with Forecasts: A Simple Guide and Free Excel Te...
Creating an Income Statement with Forecasts: A Simple Guide and Free Excel Te...Aurelien Domont, MBA
Recently uploaded (20)
PEMATANG SIANTAR 0851/8063/4797 JUAL OBAT ABORSI CYTOTEC PEMATANG SIANTAR
PEMATANG SIANTAR 0851/8063/4797 JUAL OBAT ABORSI CYTOTEC PEMATANG SIANTAR
Raising Seed Capital by Steve Schlafman at RRE Ventures
Raising Seed Capital by Steve Schlafman at RRE Ventures
HAL Financial Performance Analysis and Future Prospects
HAL Financial Performance Analysis and Future Prospects
Presentation4 (2) survey responses clearly labelled
Presentation4 (2) survey responses clearly labelled
hyundai capital 2023 consolidated financial statements
hyundai capital 2023 consolidated financial statements
Innomantra Viewpoint - Building Moonshots : May-Jun 2024.pdf
Innomantra Viewpoint - Building Moonshots : May-Jun 2024.pdf
Creating an Income Statement with Forecasts: A Simple Guide and Free Excel Te...
Creating an Income Statement with Forecasts: A Simple Guide and Free Excel Te...
Future of Trade 2024 - Decoupled and Reconfigured - Snapshot Report
Future of Trade 2024 - Decoupled and Reconfigured - Snapshot Report
Featured
More than Just Lines on a Map: Best Practices for U.S Bike Routes
This session highlights best practices and lessons learned for U.S. Bike Route System designation, as well as how and why these routes should be integrated into bicycle planning at the local and regional level.
Presenters:
Presenter: Kevin Luecke Toole Design Group
Co-Presenter: Virginia Sullivan Adventure Cycling AssociationMore than Just Lines on a Map: Best Practices for U.S Bike Routes
More than Just Lines on a Map: Best Practices for U.S Bike RoutesProject for Public Spaces & National Center for Biking and Walking
Featured (20)
AI Trends in Creative Operations 2024 by Artwork Flow.pdf
AI Trends in Creative Operations 2024 by Artwork Flow.pdf
Content Methodology: A Best Practices Report (Webinar)
Content Methodology: A Best Practices Report (Webinar)
How to Prepare For a Successful Job Search for 2024
How to Prepare For a Successful Job Search for 2024
Social Media Marketing Trends 2024 // The Global Indie Insights
Social Media Marketing Trends 2024 // The Global Indie Insights
Trends In Paid Search: Navigating The Digital Landscape In 2024
Trends In Paid Search: Navigating The Digital Landscape In 2024
5 Public speaking tips from TED - Visualized summary
5 Public speaking tips from TED - Visualized summary
Google's Just Not That Into You: Understanding Core Updates & Search Intent
Google's Just Not That Into You: Understanding Core Updates & Search Intent
The six step guide to practical project management
The six step guide to practical project management
Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...
Beginners Guide to TikTok for Search - Rachel Pearson - We are Tilt __ Bright...
Unlocking the Power of ChatGPT and AI in Testing - A Real-World Look, present...
Unlocking the Power of ChatGPT and AI in Testing - A Real-World Look, present...
More than Just Lines on a Map: Best Practices for U.S Bike Routes
More than Just Lines on a Map: Best Practices for U.S Bike Routes
Get the #WinningEdge with BAT Consulting
- 1. Get the #WinningEdge in the New Relationship Economy BAT Consulting Group, Inc. Huntington, NY. Serving clients everywhere.
- 2. BAT Consulting Group, Inc. Bob Torella MBA, President • • B2B Consultant • Cloud Evangelist Web Branding and Local SEO Social Media Specialists •
- 3. The Power of the Cloud Cloud + Social + Mobile #WinningEdge
- 4. The Cloud Ah, the cloud! Helps you to deliver your services in amazing new ways Helps you connect with your client like never before possible
- 5. Social Media Social media allows you to connect with your client more frequently to build stronger relationships
- 6. Mobile Mobile is the catalyst that brings it all together
- 7. “How can this renaissance help me in my practice?”
- 8. BAT Consulting Group Plan Implement Monitor Your practice today Vision your practice of tomorrow
- 9. BAT Consulting Group Inc Reach your goals at the right pace Assess All gain + no pain Implement Monitor
- 10. BAT Consulting Group Inc Assess Plan Monitor Integrate Optimize
- 11. BAT Consulting Group Inc Assess Plan Powerful tools to manage and monitor your performance Implement
- 12. BAT Consulting Group, Inc. Get more great info o o Website #WinningEdge Blog Free consultation 631-760-5440 bob@batcgi.com
- 13. BAT Consulting Group, Inc. Best wishes for your greatest year ever