This course gives bookkeepers and small business finance staff a step-by-step, practical understanding of the Income Statement (Profit & Loss)—how it is built, how to record and classify transactions correctly, and how to use the results to support decision-making and compliance. You will learn the structure of a professional Income Statement, how revenue and costs are recognised, how expenses and tax are handled, and how to analyse performance using ratios—supported by realistic examples, reporting checklists, and hands-on case studies.
Module 1 – Introduction and Basic Concepts
o Income Statement vs Other Financial Statements
o Importance of Income Statement
o Key users of the Income Statement
o Basic Accounting Principles Relevant to the Income Statement
o Components of the Income Statement
o Practical Examples for Bookkeepers in South Africa
o Common Errors to Avoid
Module 2 – Revenue and Sales Recognition
Module 3 – Cost of Sales and Gross Profit
Module 4 – Operating Expenses and Net Profit
Module 5 – Taxation and Profit after Tax (PAT)
Module 6 – Practical Income Statement Analysis
Module 7 – Reporting and Compliance
Module 8 – Practical Exercises and Case Studies
Module 9 – Income Statement Ratio Analysis
• Annexures Included:
o Annexure A
Bookkeepers and small business finance staff
