An income statement with at least two columns of amounts. The column of amounts that is
closest to the words will contain the amounts for the most recent period of time. The columns
furthest from the words will be the amounts from older periods of time. The older amounts
provide a frame of reference for understanding the recent amounts.
Harold Averkamp (CPA, MBA) has worked as a university accounting instructor, accountant, and consultant for more than 25 years. He is the sole author of all the materials on AccountingCoach.com. Read more about the author.