Accounting for IGCSE & O level - Preparation Of Financial Statements (Section 21 - No. 36)

What is the role of the income statement?
To report a company's assets, liabilities, and equity.
To show a company's cash inflows and outflows.
To show a company's revenues and expenses.
To calculate the cost of production.

Explanation

The income statement presents a company's revenues and expenses, which determines profit/loss.

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