The terms income and profit have essentially the same meaning. They both refer to the amount of residual earnings that a business generates after all revenues and expenses have been recorded. However, there are some situations in which the meanings of the two terms can diverge. This is most commonly the case when an entity generates its cash inflows from the receipt of interest on its investments. In this situation, interest is considered to be the revenues of the entity, so that interest income is considered a top-line (revenue) item, rather than a bottom-line (profit) item.