Income Statement
A tree of the mapping levels, ordered revenue down to net income, each node against last year.
- General ledger alone
- Compares with last year
- Key analysis in Planning & analytics
What it checks
- Tree: level 1 Statement → level 2 Class → level 3 FSLI → level 4 Account Group → account → journal entry.
- Order: revenue · COGS · gross profit · opex · EBIT · other income and FX · finance costs · PBT · tax · profit for the year.
- Everything non-operating sits below EBIT: other income, FX, and non-operating expense. Nothing above EBIT is outside trading.
- Gross profit, EBIT, PBT and profit for the year are derived from the lines above; every other line is Σ of its children.
- Columns: CY · PY · Δ · Δ% · % of revenue.
- Profit for the year must equal the movement in the balance-sheet equity roll-forward.
How the result is read
A P&L account resets each year, so a leaf is a plain sum with no opening balance. Every subtotal is derived, never read off an account. Margin is carried monthly as well as annually because the two differ — a rate running 44% to 33% across the year is an exit rate, the annual rate is the weighted average — so each percentage says which it is.
The worksheet, on the demo engagement
Income Statement, as the application draws it for Harrow Precision Engineering Ltd, the fictional demo engagement — one node per income-statement caption, nested to level 4.
- Gross margin %
- 38.2%
- Operating margin %
- 8.3%
- Net margin %
- 5.7%
- Eff. tax %
- 21.0%
Revenue up +25.1% but profit down 26.8%, gross margin erodes 44% to 33%.
Result grid6 of 9 rows
| Caption | CY | PY | Delta Abs | Delta % | % Rev |
|---|---|---|---|---|---|
| Revenue | 64,200 | 51,300 | +12,900 | +25.1% | 100.0% |
| Cost of goods sold | (39,680) | (29,400) | 10,280 | +35.0% | (61.8%) |
| Gross profit | 24,520 | 21,900 | +2,620 | +12.0% | 38.2% |
| Operating expenses | (19,200) | (15,000) | 4,200 | +28.0% | (29.9%) |
| Operating profit (EBIT) | 5,320 | 6,900 | 1,580 | 22.9% | 8.3% |
| 6900 Finance costs | (650) | (520) | 130 | +25.0% | (1.0%) |
In the application
Income Statement is filed under Planning & analytics, index letter A. "Run all analyses" runs it with every other analysis the ledger can answer. The worksheet states the population it tested on its face — or "Not applicable" with the reason when a column it depends on is empty — and the Excel workbook the engagement exports files it under A, beside an index of the source files with their SHA-256 fingerprints.
Read it with
Run your next audit file test without the Excel crash.
One free engagement to evaluate, valid 60 days. The ledger never leaves the machine.
- 20 minutes
- Runs on a fictional engagement
- No client data required