What do each tell the business manager?
2007-11-08 22:40:36 · 5 answers · asked by Anonymous in Business & Finance ➔ Personal Finance
Balance sheet shows a snapshot of the company at one particular time, where an income statement can show the health of the company over a long period of time....
2007-11-12 21:22:33 · answer #1 · answered by I Can Count To Potato 7 · 0⤊ 0⤋
The income statement is in layman's terms the health of the organization. The top side of the income statement deals with revenues, which you like to see increase year over year. The middle sections deals with expenses, which you hope grow only in relationship to revenue. Finally, the net income will tell you if the company is making money.
The balance sheet identified where the company has its money (cash, inventory, property). The balance sheet will also identify how those assets are owned. (Are they purchased with debt or with retained earnings).
This is all greatly simplified, so if you have a more specific question, fire away.
2007-11-08 22:59:25 · answer #2 · answered by Griffin 4 · 0⤊ 0⤋
Income statement refers to the profit and loss for a certain period of time; say 1 month, 2 months, 3 months etc. While balance sheet refers to the financial position at a certain date; say as at 31st January 2007, 28th February 2007, 31st March 2007, etc.
2007-11-08 23:46:27 · answer #3 · answered by Anonymous · 1⤊ 0⤋
Income statement referes to the net revenue from accounts recievable and profits for a specific period, and balance sheet refers to a line item explaination of gross revenue based on accounts payable, manufacturing costs...any expendature as it relates to the net income. Basically these show how much came in, how much went out and what's left over.
2007-11-08 22:51:22 · answer #4 · answered by Three this week 2 · 0⤊ 0⤋
go to yahoo finance. type in a company's ticker symbol. go to the left side near the bottom. click away.
2007-11-08 22:52:50 · answer #5 · answered by !!! 7 · 0⤊ 0⤋