Profit and Loss Report: Difference between revisions

Latest revision as of 15:25, 21 April 2017

The Profit and Loss Report is an income statement for the business for a specific reporting Accounting Period. By contrast, the Balance Sheet Report is for a specific point in time.

The report is the total of all Profit and Loss Accounts from the start to end of the Accounting Period and shows:

Financial Revenue
Financial Expenses
Net Profit or Loss. This is the total of thee first two and indicates the overall profit or loss of the business within the Accounting Period.

This report is primarily used to determine the profitability of the business.

It summarises both Operating Activity and Non-Operating Activity income and expenses and these can be directly compared with previous Accounting Periods in Year on Year or Quarter on Quarter performance reports.

This report may be used to calculate:

Also see the list of other Finance Reports.

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 This report is primarily used to determine the profitability of the business.
-It summarises the operating and non-operating income and expenses and these can be directly compared with previous [[Accounting Period|Accounting Periods]].
+It summarises both [[Operating Activity]] and [[Non-Operating Activity]] income and expenses and these can be directly compared with previous [[Accounting Period|Accounting Periods]] in [[Year on Year]] or [[Quarter on Quarter]] performance reports.
+This report may be used to calculate:
+* Gross Profit.
+* Operating Profit.
+* ROE - return on equity.
+* ROA - return on assets.
+* EBIT - earnings before interest and taxes.
+* EBITDA - and earnings before interest taxes and amortisation.
+Also see the list of other [[Finance Reports]].