What Are Income Statement Accounts

Income Statement Accounts are closed at the end of the accounting period unlike Balance Sheet Accounts.

Income statement accounts are temporary accounts having no balances at the end of the accounting period.

Income Statement Lists / Examples include all revenues and expenses such as Sales, Fees Earned, Cost of Goods Sold (Cost of Sales), Purchases, Rent Expenses, Wages Expenses, Salaries Expenses, Advertising Expenses, Fees Paid Depreciation Expenses, Utilities Exp.,  etc.

Income Statement accounts are also called nominal or temporary accounts as these are closed at the end of the accounting period and not transferred to balance sheet as these accounts does not have ledger’s balances.