An Income Statement for 12 Months is a financial statement that shows a company's revenues and expenses over a specific period of time, usually one year. It includes information about sales, cost of goods sold, operating expenses, and taxes. The income statement helps investors and creditors assess a company's financial health and performance. The most common types of Income Statement for 12 Months are the Single-Step Income Statement and the Multi-Step Income Statement. The Single-Step Income Statement combines all income and expenses into one section, making it easier to read and understand. It does not show the details of each income or expense item. The Multi-Step Income Statement breaks down the income and expenses into sections, allowing for more detailed analysis. It shows the details of each income and expense item, such as gross profit and net income.