profit and loss account


profit and loss account
index budget

Burton's Legal Thesaurus. . 2006


profit and loss account
an account that shows the revenue and expenditure of a business during a given period, resulting in a net profit or loss, and provides a link between successive balance sheets.

Collins dictionary of law. . 2001.


profit and loss account
An accounting document which sets out the details of a company's profits and losses to give an overall profit or loss figure. Directors (director) have a duty to prepare a profit and loss account giving a true and fair view of the profit or loss of the company for the financial year (section 226, Companies Act 1985). Schedule 4 to the Act provides a skeleton format for a profit and loss account.
The profit and loss account, along with the balance sheet, is an important tool for analysing the financial health of a company.
Related links

Practical Law Dictionary. Glossary of UK, US and international legal terms. . 2010.

Look at other dictionaries:

  • profit-and-loss account — UK US noun [C] UK (US profit and loss statement) ► ACCOUNTING, FINANCE a document that shows a company s profit or loss in a particular period: »This loss would be shown as a charge in the profit and loss account. → See also EARNINGS REPORT(Cf.… …   Financial and business terms

  • profit and loss account — or profit and loss statement Fin the summary record of a company’s sales revenues and expenses over a period, providing a calculation of profits or losses during that time. Abbr. P&L EXAMPLE Companies typically issue P&L reports monthly. It is… …   The ultimate business dictionary

  • profit and loss account — ► NOUN ▪ an account to which incomes and gains are credited and expenses and losses debited, so as to show the net profit or loss …   English terms dictionary

  • profit and loss account — P & L account 1) An account in the books of an organization showing the profits (or losses) made on its business activities with the deduction of the appropriate expenses. 2) A statement of the profit (or loss) of an organization over a financial …   Accounting dictionary

  • profit and loss account — P & L account 1) An account in the books of an organization showing the profits (or losses) made on its business activities with the deduction of the appropriate expenses. 2) A statement of the profit (or loss) of an organization over a financial …   Big dictionary of business and management

  • profit and loss account — noun an account compiled at the end of an accounting period to show gross and net profit or loss • Syn: ↑profit and loss • Hypernyms: ↑account, ↑accounting, ↑account statement * * * ˌprofit and ˈloss account [profit and loss account] …   Useful english dictionary

  • profit and loss account — 1. A statement showing a company s income and expenditure over a period of time, usually one year. Part of the financial statements of the company. Dresdner Kleinwort Wasserstein financial glossary 2. A reserve in a company s balance sheet,… …   Financial and business terms

  • profit and loss account — UK / US noun [countable] Word forms profit and loss account : singular profit and loss account plural profit and loss accounts business a document that shows how much money was received and spent by a company during a particular period of time,… …   English dictionary

  • profit and loss account — noun Profit and loss account is used before these nouns: ↑account …   Collocations dictionary

  • profit and loss account — profit and loss ac,count noun count a document that shows how much money was received and spent by a company during a particular period of time, and whether or not it made a profit …   Usage of the words and phrases in modern English


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