💰Income Statement Formulas
Operating Income
Gross Profit - Operating Expenses = Operating Income
What It Means
Profit from core business operations, before interest and taxes.
Related Formulas
Net Sales
Gross Sales - Sales Returns - Sales Allowances - Sales Discounts = Net Sales
Cost of Goods Sold (COGS) - Merchandising
Beginning Inventory + Purchases - Ending Inventory = COGS
Cost of Goods Sold - Manufacturing
Beginning Finished Goods + Cost of Goods Manufactured - Ending Finished Goods = COGS
Gross Profit
Net Sales - Cost of Goods Sold = Gross Profit
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