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Income statement and balance sheet are linked in this way that income statement describes how assets and liabilities are utilized to earn revenue and net income while balance sheet describes the information about remianing amount of assets and liabilities.

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10y ago

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Are balance sheets ordinarily projected after income statements?

Balance sheets are ordinarily projected after income statements because the firm's growth in retained earnings, an outcome of projected income, is a required input for the balance sheet.


Net income appears on what statements?

It appears at: Income statement Balance sheet


Is it true that balance sheet provides a link between beginning and ending income statements?

no..its the other way around


What the income statement and balance sheet jointly known as?

Financial Statements


Link between balance sheet and cash flow?

There is a direct link between a balance sheet and cash flow. The two are linked by the net income inform of profit or loss which appears in both statements.


Is a prepaid expense on the balance sheet or the income statements?

A prepaid expense is an asset listed on the balance sheet.


Do accounts receivable appear on an income statements?

No, A/R is a balance sheet account.


How does ap department appear on company financial statements?

balance sheet and income statment


What items are found on the income statements?

mostly what you spent on your previous shoping spree and you checking balance


What will you find on a income statement and balance sheet?

Current period profit or loss is shown on both financial statements - at the bottom of the Income Statement and in the Retained Earnings section of the Balance Sheet.


How do you construct a statement of cash flow from income statements and balance sheets?

Constructing a statement of cash flow from income statements and balance sheet is no simple task and requires training. Most CPAs can do this, but not all. Unless you are a professional finance person or accountant, I suggest you hire an accountant to do this. Additionally, please be aware that financial statements prepared in accordnace with GAAP, usually include a cash flows statement with the income statement and balance sheet.


What are the two important financial statements produce by accounting?

Following is the two major financial statements: 1 - Income statement 2 - Balance Sheet