An income statement is a financial statement that shows different measurements of revenues, expenses, and profits for a firm over a specified period of time. At the top of an income statement is net sales, followed by calculations involving operating costs, interest, and taxes. The income statement also typically shows net income as well as information regarding dividends, retained earnings, and earnings per share.

The following is an example of an incorme statement for a fictional company over the course of a two year period.