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We like to use this blog to address frequently asked questions in the world of bookkeeping for businesses. Here’s one of them:
What is an income statement and why do I need it?
And here’s our answer:
An income statement shows all of the revenue and expenses for your business for a specific time period. A quarterly income statement ending March 31, shows revenue and expenses for January, February and March; a monthly income statement shows the figures for a single month. It is important because it tells you if you are making money and can be used as a tool to analyze what areas of your business are profitable and which are costing you money.
So there you have it, if you’ve ever wondered
Got more questions about bookkeeping for your business? Contact us today and let us know!