With business bookkeeping and basic tax tips for new and old entrepenuers

Tuesday, March 2, 2010

What is an Income Statement?

The most important report that needs to be run, the Income Statement, basically tells you and anyone else who looks at it how much money you brought in and how much you spent on your business. The difference is either a profit or a loss. Hopefully you will have more months when you have a profit than the other way around. Banks will look at this document to try to determine whether or not you are a business that will stay in business for the long haul. Anytime you need to prove income for your business you may be asked to present this statement.

Next, what is a journal?


Provided by Alamo Bookkeeping Associates LLC

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