Regarding increase and decrease in stock

Income statement means are you talking about p&l of sch-3?

In vertical trading a/c opening stock disclosed on the dr side and closing we've to disclosed on cr side.
So, to give this effect on horizontal p&l of sch-3 we've to disclose changes in inventory. Which shows effect of opening and closing stock.

Yes sch 3
This working is for finished goods only

Nope, its also for FG, WIP and raw material

OK will check it. Thnx

No change in inventory is not for raw material. It is for FG and WIP

Thanks Prakash. I agree with you.