What is the income statement?

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This statement, also called a profit and loss statement, is a type of financial report that explains and reflects in detail the expenses and income that a company had during a certain period of time.

Therefore, the income statement allows us to understand what the business is like at the operational level, the fixed and variable costs necessary to maintain sales, the capacity to generate sales, administrative expenses and debts that affect the company in a certain range of dates.

What is the purpose of the income statement?
On the one hand, this financial statement provides information uae phone number list about the value of the company, data that is interesting for investors. And, on the other hand, it allows debtors to know how easy it is for the company to return their money.

That is, the analysis of an income statement explains the profitability of an organization and helps it make the right decisions for its growth and for establishing itself in the market.