Definition

Noun: A formal financial document that summarizes a company's revenues, expenses, and profits or losses over a specific, defined period of time, such as a quarter or a year. It is a core component of a company's financial reporting.

Usage

The term "income statement" is used to refer to the specific report itself. It is a standard accounting term. * The income statement shows whether a company made a profit during the last quarter. * Investors carefully analyze the income statement to assess a company's financial health. * Before making an investment, you should review the company's most recent income statement.

Advanced Usage

• "to prepare/present an income statement": The act of creating or officially sharing this financial report.
  • The accounting department will present the income statement at the next board meeting.
• "on the income statement": Used to indicate where a specific financial figure is reported.
  • Research and development costs are listed as expenses on the income statement.

Variants and Related Words

• Profit and Loss Statement (P&L) (n): A common synonym for "income statement."
• Statement of Operations (n): Another formal name for the same financial report.
• Earnings Statement (n): A less formal term often used interchangeably with income statement.

Synonyms

• Profit and loss statement
• Statement of operations
• Earnings report

Related Phrases

• Bottom line: A common idiom derived from the income statement, referring to the net profit or loss figure, which is literally found at the bottom of the statement.
  • What matters most to the shareholders is the bottom line.

Noun

1. a financial statement that gives operating results for a specific period