© The Author(s), under exclusive license to APress Media, LLC, part of Springer Nature 2024
C. BarberIncome Statement Semantic Modelshttps://doi.org/10.1007/979-8-8688-0330-7_2

2. How the Income Statement Is Constructed

Chris Barber1  
(1)
KINGSTON UPON THAMES, UK
 

In the previous chapter, we learned what the income statement is from external and internal perspectives and the two ways of viewing the income statement semantic model, as a navigation tool and as a way of measuring the accounting process.

In this chapter, we will learn how the income statement is constructed. In doing so, we will cover how to build the income statement to net income. This emphasizes that the account balance calculation, based on the trial balance, is the standardized step ...

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