FREE Profit And Loss Statement Form, Quick And Easy

What is a Profit And Loss Statement?

A profit and loss statement, also called an income statement, is an overview of your income and expenses. It is arranged to show the flow of money into and out of an enterprise. The top of the P&L is concerned with the basic profitability of your business -- the revenues brought into the company through its business activities or sales and the amount spent to manufacture, buy and deliver the products or services. The rest of the P&L lists operating expenses, which are all those things that don't directly produce and sell products but form the overhead expenses. The final section deals with the actual profit or loss left after all expenses have been paid out of revenues.

Sources: https://smallbusiness.chron.com/profit-loss-sheet-10434.html