Profit loss statement Template


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Profit loss statement Template

A Profit and Loss  statement, also known as an income statement, is a financial statement that shows the revenues, expenses, and profits or losses of a business over a specific period of time. This statement is an important tool for businesses to monitor their financial performance and make informed decisions about their operations.

The template for a Profit and Loss statement typically includes several main sections. The first section shows the company’s revenue, which includes the total amount of money earned from sales and any other sources of revenue. The next section shows the cost of goods sold, which is the amount of money spent on producing or purchasing the products or services sold by the company.

The difference between revenue and cost of goods sold is known as gross profit, which is a key metric that indicates the profitability of the company’s core operations. After gross profit, the statement typically shows the company’s operating expenses, such as rent, salaries and wages, utilities, and other expenses related to running the business.

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