2. Components of the statement of financial results and their calculation

8. Calculate Net Income

The final step is to calculate net income for the reporting period. To do this, subtract interest and then taxes from your EBIT. The number remaining reflects your business’s available funds, which can be used for various purposes, such as being added to a reserve, distributed to shareholders, utilized for research and development, or fueling business expansion.

1^ What Is Cost of Goods Sold (COGS) and How to Calculate It. Janet Berry-Johnson CPA

2^ How to prepare an income statement. Tim Stobierski from Harvard Business School online