Date of this Version
This NebGuide provides step-by-step directions for completing the included income statement.
What Is an Income Statement?
An income statement shows income and expenses over a period of time, usually a year. Like a motion picture, it also can show the movement of income expenses between net worth statements.
This income statement includes five categories of income (salaries, wages, bonuses; investment income; gifts; borrowed money; and other income), and three categories of expenses (taxes; fixed obligations and financing expense; and living expenses). A space to calculate net income (the amount left after all expenses) concludes this form.