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hey there welcome back to our no your business numbers video series today were going to take a look at the profit and loss statement were gonna go over the basics this is one of the most powerful reports that you have as a business owner so lets take a look and understand it a little bit better now sometimes youll hear people say profit and loss statement also we refer to it as a PL you might hear me through the course of the video actually refer to it as a PL as well in some circles it is also known as an income statement so if you hear the words profit and loss statement or an income statement its theyre probably talking about the same thing if someone brings that up to you basically it gives you a quick snapshot of your business its going to highlight your sales your cost of goods sold your expenses and your profits and the main purpose of this report is to tell you how profitable you are and why or why not so what were gonna do is were gonna take a look at a few of thes
