A cash income statement correctly frames the income details of a company that is received in cash. Since a major part of the income is earned in credit or bonds, only a limited portion of the revenue is gained in hard cash. Thus the document is written in a consolidated form depicting the profits generated in cash.
Sample Cash Income Statement:
Holy Departmental Store
Monthly Cash Income Statement
The following is the monthly cash income statement of the concerned store irrespective of the expenses incurred on the services.
Income statement of: Mr. Denmark Hood
Location of the store: 5, Bunny Street, New Yorkshire
Date of establishment: 4th January, 2011
Timings: 10:00 AM to 10:00 PM (Closed on Sundays)
Items sold: Groceries, stationeries and cosmetics
Number of employees: 10
Average monthly cash flow accounts:
Cash income statement given for: Wheat (grocery)
Quantity of wheat purchased from dealer each month: 100 kg
Purchase rate of wheat per kg including transportation charges and miscellaneous charges: $3.00
Sale rate of wheat per kg: $4.00
Total profit earned on the said item: $100.00
Operating finances: The sale tax levied on the total sales is 12% which comes to around $8000
Investing finances: The amount of initial investment made on the set-up of the store and basic construction is $400012
Insurances guaranteed on the store: The store is insured for an amount of $60000 in case of loss or severe damage.
Supplementing finances: The accompanying costs include footage of electricity bills, income tax, interest rates, employee wages and benefits.
The cash balance left at the end of the month: $4728288