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An income statement is a financial statement that shows you the companys income and expenditures. It also shows whether a company is making profit or loss for a given period. The income statement, along with balance sheet and cash flow statement, helps you understand the financial health of your business.
What is the income and expense statement?
Also known as the profit and loss (PL) statement or the statement of revenue and expense, an income statement provides valuable insights into a companys operations, the efficiency of its management, underperforming sectors, and its performance relative to industry peers.
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