iincreases the net profit
Nope. It goes to the Balance sheet (Debtors) under Current Assets. What goes into income statement is Sales (both cash and credit). DR Debtors CR Sales. Debtor goes to B.S and Sales goes to P&L.
Income statement and balance sheet are both related to each other as transactions effect income statement and balance sheet as well and net income or loss from income statement is also part of balance sheet.
Accounts receivables are on the balance sheet. They are an asset of the firm, that is they represent a future economic benefit. The income statement holds the revenues and expenses of the business.It goes to the Balance sheet (Debtors) under Current Assets. What goes into income statement is Sales (both cash and credit). DR Debtors CR Sales. Debtor goes to B.S and Sales goes to P&L
One not associated with the business.
always affectsa balance sheet and an income statement account
Nope. It goes to the Balance sheet (Debtors) under Current Assets. What goes into income statement is Sales (both cash and credit). DR Debtors CR Sales. Debtor goes to B.S and Sales goes to P&L.
Income statement and balance sheet are both related to each other as transactions effect income statement and balance sheet as well and net income or loss from income statement is also part of balance sheet.
Accounts receivables are on the balance sheet. They are an asset of the firm, that is they represent a future economic benefit. The income statement holds the revenues and expenses of the business.It goes to the Balance sheet (Debtors) under Current Assets. What goes into income statement is Sales (both cash and credit). DR Debtors CR Sales. Debtor goes to B.S and Sales goes to P&L
One not associated with the business.
Adjusting entries affect at least one income statementand one balance sheet
always affectsa balance sheet and an income statement account
always affectsa balance sheet and an income statement account
Credit card fee will come under Opeating exp in incotme statement
Comparative income statement is same as normal income statement with little addition of that income statement as well from which comparison is required.
Yes.
Comparative income statement is same as normal income statement with little addition of that income statement as well from which comparison is required.
Following are two catagories of income statement: 1- Single Step Income statement 2- Multy-step income statement