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What are the main components of an income statement?

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Final answer:

The main components of an income statement are revenue, expenses, gross profit, operating income, and net income.

Step-by-step explanation:

Main Components of an Income Statement

The main components of an income statement are:

  • Revenue: Income earned from the sale of goods or services.
  • Expenses: The costs incurred to generate revenue.
  • Gross Profit: Revenue minus the cost of goods sold.
  • Operating Income: Gross profit minus operating expenses.
  • Net Income: The final profit amount after deducting taxes and other non-operating expenses.
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