What is result

Result is income minus expenses. The accounts starting from 3 to 8 show the income and expenses in your company.

We divide the accounting into two parts called result and balance. The first two accounts in the accounting make up the balance. Those accounts are 1 Assets and 2 liabilities/equity. The accounts from 3 to 8 show the income and expenses in your accounting, and they show the result in the accounting.

A result can show both a negative sum or a positive sum. It can vary a bit from program to program, whether they show deficit or surplus as negative. Therefore, it can be a bit difficult to see what is correct. But if the income is higher than expenses, it is a surplus.

What is an income statement?

When we talk about income statement, it is a part of the annual financial statements and therefore relevant for those who are subject to accounting obligations. An income statement shows an overview of income and expenses in a company during a financial year or for a period such as a month. This is similar to finding the result in the accounting program, but this is part of the annual financial statements of your company.