A P&L or profit and loss statement is also called an income statement. It shows you exactly that – what yourprofitis and what losses you have made. Its primary importance is to show you whether your business made a profit for a period. You can compare a current P&L to previous ones...
Learn how to understand financial terms and documents and read and interpret company accounts. "Understanding Accounts" not only explains the functions of the profit and loss account, the balance sheet, and the cash flow statement and forecast but also shows how they are constructed and how they...
By setting aside a little time each day for a week, you will greatly increase your understanding of accounts and how to interpret them.- Sunday: The right approach- Monday: An introduction to accounts- Tuesday: The profit and loss account or income statement- Wednesday: The balance sheet or...
chapter twenty four: Understanding financial statements.Chapter 24 of the book "Everything You Need for an NVQ in Management," by Julie Lewthwaite is presented. Profit and loss account, balance sheet and cash flow statement are the three basic financial statements. Assets with a life longer than...
When the term 'the financial accounts', or more simply 'the accounts', is used it is usual to assume that it refers to the balance-sheet and the profit-and-loss account for the year, and we shall continue to use it in this sense. The technique most frequently employed in understanding...
“A simple profit and loss account won’t reveal the cash tied up in stock. “A specialist accountant will help you understand all these areas and others such as VAT, which owners often forget but can also mess up your margins. “To find a good accountant, ask other e-commerce owners ...
[...]exchange trader to submit such further information as it may think necessary fortheproper understandingofthe balance sheet and profit and loss account sent by it under subsection (2); and such information shall be submitted within such periodandinsuchmanner as the Commission may require....
Under U.S. GAAP, fixed assets are recorded at historic cost and are then depreciated to a disposal or residual value. If there are certain indicators that the realizable value of the fixed asset has negatively changed, then the asset is written down and a loss is recorded. This is referred...
First, the usefulness of accounting information and the meaning of "fair value change profits and losses" account In February 15, 2006, the new enterprise accounting standards issued by the Ministry of finance made great changes in many aspects, of which the use of fair value is the most ...
You can claim relief on costs that have been expensed through the your Profit & Loss account. In certain circumstances, you can also claim capitalised expenditure. The main areas of costs that can be claimed are: staff costs (including gross pay, employer's NI, reimbursed expenses and employer...