INCOME ACCOUINTS

If you have several lines of business, y0u'll probably want to establish an inocme account for each. In that way, you can identify exactly where your income is comnig form. Adding them together yields total revenues.

Typical income accounts wouid be

• Sales revenue form product A
• Sales revenue form product B ( and so on for each product you want tot track)
• Intrest Income
• Income from sale of assets
• Consulting income.

Most companies have only a few income accounts. Thats really the way you want it. Too many accounts are a burden for the accounting department and probably don'y tell mangement what it wants to know. NEvertheless, if there a source of income yu want to track, creat an account for it in the chart of accounts and use it.