Hi All,
Why don't we call it Profit OR Loss Account ", even the result of this account is only to show PROFIT OR LOSS , we are calling it as PROFIT & LOSS Account..
Any answers please.....
Thanks & Regards,
Viswanath
From India , Mumbai
Why don't we call it Profit OR Loss Account ", even the result of this account is only to show PROFIT OR LOSS , we are calling it as PROFIT & LOSS Account..
Any answers please.....
Thanks & Regards,
Viswanath
From India , Mumbai
PROFESSIONALS AND BUSINESSES PARTICIPATING IN DISCUSSION

+1 Other
We call it as a profit and loss account because while showing a comparitive profit and loss account if there is loss in one year and profit in next year we need to show in both the sides.
also some accountants show opening balance of profit(loss) and then add to it current years profit(loss).
From India , Bahadurgarh
also some accountants show opening balance of profit(loss) and then add to it current years profit(loss).
From India , Bahadurgarh