Excel template for managing the income statement: Profit and Loss Template

The income statement is the document that is part of the financial statements, which summarizes all the company operations that contributed to determining the economic result, and contains the costs and revenues of a company.

Elements of the Income Statement

• Production value. Identify all components of income arising from production: from revenues to changes in inventories of in-process, finished and semi-finished products, work in progress, fixed assets and any other source of earnings.
• Production costs. Production chain and company costs ranging from raw materials to services and employee salaries to depreciation and depreciation of tangible and intangible resources. Also included are changes in inventories of raw materials and other productive assets and any other costs and charges.
• Financial income and expenses. Income from investments in other companies, credits, securities, charges and losses or gains resulting from exchange (in case the company operates in other currencies)
• Value adjustments to financial assets. Revaluations and devaluations of securities, fixed assets and investments in other companies
• Extraordinary income and expenses. They arise from alienated securities or charges.

The following Excel spreadsheet provides a template of a typical profit and loss statement (also known as an income statement), which can be useful for small business accounts.

The fields in the tan cells of the spreadsheet are left blank to allow you to enter income and expense figures, and you can also change the labels for these rows to reflect your income categories. You can also insert additional rows into the Profit and Loss template, but if you do, you'll want to check the formulas (in the gray cells), to make sure they include any new rows.

The template is compatible with Excel 2010 and later versions.

To download the model click herei

The functions used within the model are the sum and the arithmetic operators:

• Sum: Used to calculate totals for each category of income or expenses;
• Arithmetic operators: The addition, subtraction, and division operators are used to calculate:
  • Gross Margin = Total Revenue: Total cost of sales
  • Income (Loss) from Operations = Gross Profit – Total Operating Expenses
  • Profit (loss) before income tax provisions = Income from operations – Total interest and other income
  • Net profit (loss) = Profit (loss) before income tax provision – Income tax provision
  • Net Profit (Loss) per Share = Net Profit (Loss) / Weighted Average Number of Shares

BlogInnovazione.it