Minority interest is not recognized as either a liability or part of shareholder's equity. It is commonly inserted between the two on the balance sheet. The income statement provides users with a measure of the firm's operating performance over a particular period of time. The income statement contributes many of the financial measures we use to analyze company's such as earnings per share and revenue growth. It should be noted that all North American companies report income on an accrual basis, meaning that once the revenue is earned or expense incurred, it will be recorded, regardless of whether cash is received or not.
Revenue represents the income producing ability of a company.
Revenue is often presented on the income statement into different components based on how the company feels it should be presented. There are no set rules for breaking down revenue into components, but often firms will split revenue based on factors such as geographic region, product-line or industry. Expenses include all the costs that a company has incurred in operating the business. These items typically include selling, general,administrative,cost of goods sold and marketing. Expenses can also include estimates that management has made such as allowance for bad debts, warranty expenses, depreciation and amortization.