To conserve water and to facilitate two-way travel, canals are built level. If there is a difference in elevation between the ends of a canal, the channel is built as a series of level sections linked by locks.
Free Bookkeeping Tutorials & Quizzes. The Chart of Accounts is normally arranged or grouped by the Major Types of Accounts. The Balance Sheet Accounts (Assets, Liabilities, & Equity) are presented first, followed by the Income Statement Accounts (Revenues & Expenses). Here we're going to discuss the Income Statement Portion of the Chart Of Accounts (Revenues and Expenses) and how it's organized, The Income Statement portion of the chart of accounts normally begins by listing Revenue Accounts followed by the Expense Accounts. The revenues are grouped or classified based on whether they are related to the normal operations of the business (primary business activities) called Operating Revenue or result from incidental (secondary business activities) called Non-operating Revenue.
The income statement is divided into two parts: income and expenses. Each of these is further divided into a section for cash entries and a section for noncash (accrual) adjustments. An example income statement is shown at the end of this publication. Blank forms for developing your own income statement are available in ISU Extension and Outreach publication FM 1824/AgDM C3-56, Farm Financial Statements. Most of the information needed to prepare an income statement can be found in common farm business records.