Purchase Solution

How is the Income Statement different from the Balance Sheet

Not what you're looking for?

Ask Custom Question

How is the income statement different from the balance sheet?

Purchase this Solution
Solution Summary

Your tutorial is 265 words and gives you several contrasting features regarding income statements and balance sheets.

Solution Preview

The income statement tells the story of the transactions for the period. What was sold to customer, what was paid to employees, what costs were incurred in the process of serving customers and maintaining capacity for products and services. The story has a beginning date and ending date and the "period" between these two is the time interval for the story. The story has a ...

Solution provided by:
Carol Sargent, PhD
Education
  • BSc, University of Virginia
  • MSc, University of Virginia
  • PhD, Georgia State University
Recent Feedback
  • "hey just wanted to know if you used 0% for the risk free rate and if you didn't if you could adjust it please and thank you "
  • "Thank, this is more clear to me now."
  • "Awesome job! "
  • "ty"
  • "Great Analysis, thank you so much"
Purchase this Solution
Free BrainMass Quizzes
Six Sigma for Process Improvement

A high level understanding of Six Sigma and what it is all about. This just gives you a glimpse of Six Sigma which entails more in-depth knowledge of processes and techniques.

Understanding Management

This quiz will help you understand the dimensions of employee diversity as well as how to manage a culturally diverse workforce.

Motivation

This tests some key elements of major motivation theories.

Change and Resistance within Organizations

This quiz intended to help students understand change and resistance in organizations

Organizational Behavior (OB)

The organizational behavior (OB) quiz will help you better understand organizational behavior through the lens of managers including workforce diversity.

View More Free Quizzes
Related BrainMass Solutions

  • How do the primary financial statements work together

    The net income is taken from the income statement and then included in the statement of retained earnings. Then the statement of retained earnings takes its closing balance and goes into the balance sheet.

  • How financial statements (IS, BS & CFS) are interrelated

    The profits from the income statement increased retained earnings so when anything on the income statement changes, so does retained earnings on the balance sheet.

  • Income Statement - Accrual Basis

    If you are given a balance sheet from November 2005 (which is the company start up), and one from March 2006 (when the company is no longer open), how do you calculate the income statement.

  • Financial Reports and Price earnning Ratio

    Balance sheet is different from income statement in such a way that it depicts the financial position on a particular date and not the summary of financial affairs carried during the financial year.

  • Discuss the four different types of financial statements. Ex

    As a creditor, the first statement I would take is the balance sheet, and the income statement. I would want to know that the company has enough in cash (from revenue) to cover their current liabilities.

  • Leadership Question: Balance Sheet or Income Statement

    The balance sheet and income statement give two very different views of financial health. The balance sheet is an immediate short-term view: what resources do they have now and what claims are against those resources?

  • Financial Ratio: users, primary objective of financial mgr

    What does it mean that that balance sheet is a snapshot of the firm at a point in time? How is the balance sheet different from the income statement? What would you say is the primary objective of a financial manager?

  • Common-sized balance sheet

    Common size statements usually are prepared for the income statement and balance sheet, expressing information as follows: * Income statement items - expressed as a percentage of total revenue * Balance sheet items - expressed as a percentage

  • How you would consider financial analysis. What are some of

    451270 How you would consider financial analysis How you would consider financial analysis. What are some of the characteristics of income statement, balance sheet and cash flow statement - from the perspective of the story told by each statement?

View More Related Solutions