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Financial statements
The income statement
The statement of what the business earned and spent over a period: revenue, cost of sales, gross profit, operating expenses, operating income, interest and tax, net income.
Owned by: Entry analystTest band: Entry analyst
In practice
Read it top to bottom as a cascade of margins. Every line below revenue is a decision someone made about spending.
The kind of thing the test asks
- Which of these is NOT on the income statement?
More in financial statements
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