Page 184 - PARAMETER E

Part 4- Income Generating Projects

present government accounting system, only the income statement is being prepared among the
three financial statements.
6.4.1. Income Statement

The income statement shows the results of operation of a certain period of time, usually a
month (for fast moving projects, i.e., with daily sales, such as: poultry, fishpond and swine), or a
production cycle (for projects like rice). It shows whether a net income is earned or a net is loss is
incurred by the project during the period.
An income statement showing the revenues and expenses has the following format:

Name of Project
INCOME STATEMENT
For the period of covering_______________
REVENUES
Sale of__________________ P____________________
________________________ _____________________
________________________ ______________________

TOTAL REVENUES (A) P____________________
Less: OPERATING EXPENSES
___________________ ______________________
___________________ ______________________

TOTAL OPERATING EXPENSES (B) ______________________
NET INCOME/ (LOSS) (A –B) P_____________________

Figure 4.2. Format for Income Statement

6.4.1.1. Revenues
These are the income, which accrue to the project. These consist mainly of sales of product
or output from the different projects. The different sources of revenues for each type of project are
shown in the following table.

Table 4.1. Sources of Revenues for each type of Project
Type of Project Source of Revenues
1. Crops (Rice) Sale of milled rice & palay seeds
2. Broiler/Poultry Sale of broilers, manure and empty feed bags
Sale of eggs, cull, manure and empty feedbags
3. Swine Sale of weanlings, fattener, culled sow/boar
and breeder gilt/boar
4. Goat Sale of stocks and milk
5. Beef Cattle Sale of fattened culled cows and yearlings
(Slaughtered)
6. Tilapia Sale of tilapia; sale of fingerlings

6.4.1.2. Expenses
These are mainly expenditures for production inputs, labor costs and other items needed for
the operation of the project. The different expenses incurred in the operation of the different
projects are enumerated in the following table.

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IFSU Code