Bookkeeping
Profit and loss statement
A profit and loss statement is a report of a business's income and expenses over a period of time that shows whether it made a profit or a loss.
The profit and loss statement, also called a P&L or income statement, starts with revenue and subtracts costs and expenses. What remains is net profit or loss for that month, quarter or year. It is built from the categories in your chart of accounts.
Owners use the P&L to see which services make money and which costs are growing. Comparing months shows trends. The report is only as good as the books behind it, so reconciled accounts matter. A balance sheet shows a different view: what you own and owe on one date.
Peachtree VA's bookkeeping services include monthly financial reports. See our bookkeeping page for details. Look at it monthly and compare against the same month last year to see real change.
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