The Income Statement will list all the balances of your accounts which are created as an Income / Expense type in the Edit→Accounts→General Ledger menu option, and will reflect your net profit or loss for a specific period. The Income Statement has two main sections (financial categories), i.e. Income and Expenses. When the Income exceeds the Expenses, the report will reflect the net profit. If the Expenses exceed the Income, the report will reflect a net loss.

The Income Statement is used to manage and report on your businesses’ income and expenses. TurboCASH allows you to compare the actual figures in the Income Statement with one of the following comparative figures:

Last year’s actual figures, if available. The financial performance of the actual figures may be compared to last year’ actual figures for the selected periods.

Budget figures, if entered in the Edit→Budgets menu option. If the budgeted figures are entered correctly, you may compare the actual income received and expenses paid to the budgeted figures, to determine whether your income is on track, or where you are over spending or under spending.

To Generate an Income Statement:

1. Click on the Reports→General Ledger→Income Statement menu option.
   - Keyboard Access: Press the Ctrl+I keys on your keyboard. Alternatively, press the Alt+R+G+I keys on your keyboard.
   The Income Statement Options screen is displayed:
   
   
2. Send Report To - Select the output method (screen, printer, file, e-mail or fax).
3. Select the following options:
   1. Sequence - You may select the selected accounts to be listed or displayed according to Account Group 1 or 2 (Reporting Group 1 or 2).
      - The description of Account Group 1 or 2 you have entered on the Reporting Group Name field on the Account Groups tab on the Setup→System Parameters→Groups menu option, may be reflected in this drop-down list.
   2. Show Sub-Accounts - Select this field to view the balances of your sub-accounts. If this field is left blank no sub-accounts will be displayed and a summary of the net values for the main account will be displayed.
   3. From ... To - Select the start and end periods from which and until when you wish to include the balances.
   4. Show Decimal - Leave blank to view the amounts rounded off to the nearest currency (e.g. Rands, Pounds, Dollars etc.).
   5. Include Zero Balances - If this field is selected, all accounts listed in your chart of accounts will be displayed and balances will only be displayed for those accounts with transactions.
      If this field is left blank, all selected accounts with transactions and balances will be displayed.
   6. Show Last Year - If this field is selected last year’s actual figures will be displayed and compared to this year’s figures. If you do not wish to see last year’s figures, or you have no figures for last year on the system, you may leave this field blank.
   7. Show Budget - If this field is selected last year’s actual figures will be displayed and compared to the budget figures. If you do not wish to see budget figures, or you have not entered budget figures on the system, you may leave this field blank.
   8. Show Variance - If this field is selected, the difference between this year and last year’s balances will be displayed. If you do not wish to see the variance, leave this field blank.
4. Click on the OK button to send the Income Statement to the medium selected in the Send Report To field.
   - TurboCASH will ask you to confirm whether you would like to include opening balances.
   
   
5. Click on the Yes button to include Opening Balances from the previous financial period or financial year. If you click on the No button, the Income Statement will list the value of your debit and credit transactions for the selected period.

- If the Income Statement does not display correctly or in the required sequence:

1. Click on the Setup→System Parameters→Financial Categories menu option. The Financial Categories screen will be displayed.
2. Check that your Account Groups are correctly linked to the Income and Expenses Financial Categories.
3. Select the Print Income before Expenses or Print Expenses before Income.
4. Close or exit the Financial Categories screen and generate the Income Statement.

The following is an example of an Income Statement generated for the current financial year (This Year) with Budget figures as comparative figures:

The Income Statement will first list the Income accounts which are linked to the Income Financial Category, and then the Expense Accounts which are linked to the Expenses Financial Category in the Setup→System Parameters→Financial Categories menu option.