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.
iincreases the net profit
One not associated with the business.
always affectsa balance sheet and an income statement account
Credit card fee will come under Opeating exp in incotme statement
Credit affects your income statement primarily through the recognition of revenue and expenses. When sales are made on credit, revenue is recorded even if cash hasn’t yet been received, impacting net income positively. Conversely, if credit leads to bad debts or increased interest expenses, it can negatively affect net income. Additionally, interest income or expenses related to credit can also influence the overall profitability shown on the income statement.
The financial statement of a proprietorship are its Balancesheet,Profit & Loss A/c,Trading A/c.
iincreases the net profit
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.
Credit affects your income statement primarily through the recognition of revenue and expenses. When sales are made on credit, revenue is recorded even if cash hasn’t yet been received, impacting net income positively. Conversely, if credit leads to bad debts or increased interest expenses, it can negatively affect net income. Additionally, interest income or expenses related to credit can also influence the overall profitability shown on the income statement.
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