Comparative Income Statement
It shows increase or decrease in various items of Trading and Profit and Loss Account, in absolute terms and in percentage form, to know about the progress of the business.
Format of Comparative Income Statement
Comparative Income Statement of ...Ltd. for the year ending...31st, March 20...and 31st, March 20...
| Particulars | Note No. | Previous Year (₹) | Current Year (₹) | Absolute Change | Percentage change |
| 1.Revenue from Operations | |||||
| 2. Other Income | |||||
| 3.Total revenue (1+2) | |||||
4. Expenses  Cost of Materials Consumed  Purchases of Stock-in-Trade  Changes in inventories of Finished   Goods  Work-in-Progress and Stock-in-   Trade  Employees Benefits Expenses  Finance Costs  Depreciation and Amortization Expenses  Other Expenses  Total Expenses | |||||
| Â Profit before Tax (3 - 4) |
If Provision for Tax is also given, the format may be extended to show its subtraction and then showing Profit after Tax.
How to prepare Comparative Income Statement
The main steps are:
1. Enter the items of income and expenditure in first column.
2.  Enter the previous year's figures in second column.
3.  Enter the current year's figures in third column.
4. Enter the absolute changes (current year figure- previous year figure) in fourth column.
5. Enter the percentage changes [(absolute change/ previous year figure) x 100] in fifth column.
Segment Project for Accountancy Class 12