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Profit and Loss Statement Template

A profit and loss statement template is a financial statement of a company that will give you quick snapshot of your business’s health by showing your business’s income and expenses over a certain period of time. It is also known as income statement or state of income. It also lists your sales and expenses which generally recorded on a monthly, quarterly or yearly basis. These statements have become a critical part of analytic tools for investors, business managers and accountants to assess the health of a business. The statement outlines how effectively an organization creates a profit through buying of stock and selling of products or services.

A profit and loss statement template shows revenues, expenses, gains and losses but it does not shows cash receipts nor cash disbursements. Generally if the net amount of revenues and gains minus expenses or losses is positive the bottom line of the statement is labeled as a net income and if net amount is negative then there is a net loss. Create a perfect statement by following the key steps such as keep the spotless records of your chosen time period, calculate your revenue, calculate your expenses and minus expenses from revenue to find your profit.


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Posted in S, Statement Templates

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