Income statement
Income statement shows whether the
business has profits or losses from its operations within a specified time period.
It states how the entire money received from the sale of its products or services
would fare when all costs or any expenses has been deducted. This is another
valuable tool for analyzing a company as it shows whether it has room to expand
and capable of paying down it's debt. It also gives you a hint if the company
has nowhere to go but a dead end and it's currently burning cash slowly until
it goes bankrupt.