The income statement reports this value, which is calculated by dividing the firm$$s earnings available to common shareholders by the number of common shares outstanding. Many people consider this to be one of the most important numbers in this statement.$$This statement summarizes the revenues earned and the expenses incurred by the firm. The $$bottom line$$ of this statement usually reports either the firm$$s net profit in total or the net profit earned on a per$-$share basis.$$This statement is constructed using the firm$$s short$-$term and long$-$term asset accounts, short$-$term and long$-$term liability accounts, and equity accounts.$$An asset with this characteristic may be sold or converted into cash quickly, with minimum loss of value, and with small transaction costs.$$This statement categorizes and reports the financial activities and transactions that led to a change in the firm$$s cash holdings over an interval of time $($accounting period$).$