The link between a balance sheet and an income statement is obvious, but it's also tricky. The more income your business earns, the more value should show up on its balance sheet. But the calculations ...

Net income seems straightforward: It is the result when expenses (administrative expenses, business expenses, interest expenses, operating costs and other expenses) are subtracted from revenue. This ...

A balance sheet displays what a company owns, what it owes, how it's financed, and its shareholders' equity at a particular point in time. An income statement displays the company's revenues and ...

Retained earnings are a company's cumulative earnings since it began the business, minus any shareholder dividends that were issued. This figure represents stockholder equity that can be used for ...

Financial intelligence can be a hard topic to broach with business owners because they are constantly measuring their business by what is in their bank account. And although many entrepreneurs ...