Slide sheet in the Profit and Loss Statement

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How to Slide sheet in the Profit and Loss Statement

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[Music] all right today were going to look at making a profit loss statement lets say you start with some raw day like this and your boss wants you to turn this into a profit loss statement so you might not know where to start where to go from um ground zero on this so lets just run through at least one way you can do this so first off lets look at what would be income and what would be expenses and this one we pretty much just got one source of income were gonna go ahead and color code this and all the rest of these are expenses so now one way you could do this is just simply to list income and then subtract all expenses and come up with your profit now traditionally on boot keeping cost of goods is actually taken out of the top and then the rest expenses taken out separately so thats how were going to do it today you could simplify this if you dont need to worry about that in your performance so lets go ahead and start with just a blank tab right here im going to make it ma

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What can be included in the profit and loss statement?

The P L statement contains uniform categories of sales and expenses. The categories include net sales, costs of goods sold, gross margin, selling and administrative expense (or operating expense), and net profit. These are categories that you, too, will use when constructing a P L statement.

What are presented in the balance sheet in the profit and loss statement?

The balance sheetas opposed to the PL, which shows results over a defined period of timeprovides a snapshot of the businesss performance as of a given date. The balance sheet not only includes the businesss assets and liabilities, but also the owners equity in the business, as well as any long-term investments.

How do you present a PL presentation?

Define the period for your profit and loss statement. Discuss your net sales figure. Provide a breakdown of your costs of goods sold applicable to businesses that sell products. Explain your expenses section, which may make up the majority of your profit and loss statement.

What is the correct order of presentation in the income statement?

Revenues are listed first, and then the companys expenses are listed and subtracted. At the bottom is of the income statement is the total. If revenues were higher than expenses, the business had net income for the period.

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