Question

________ Account charges the COGS and other direct expenses and losses against the sales revenue to determine the gross operating result of the concern during a particular accounting period.
Select one:
a. Profit & Loss
b. Receipts & Payments
c. Trading
d. Income & Expenditure ​

Answer 1

Answer:

________ ᴀᴄᴄᴏᴜɴᴛ ᴄʜᴀʀɢᴇs ᴛʜᴇ ᴄᴏɢs ᴀɴᴅ ᴏᴛʜᴇʀ ᴅɪʀᴇᴄᴛ ᴇxᴘᴇɴsᴇs ᴀɴᴅ ʟᴏssᴇs ᴀɢᴀɪɴsᴛ ᴛʜᴇ sᴀʟᴇs ʀᴇᴠᴇɴᴜᴇ ᴛᴏ ᴅᴇᴛᴇʀᴍɪɴᴇ ᴛʜᴇ ɢʀᴏss ᴏᴘᴇʀᴀᴛɪɴɢ ʀᴇsᴜʟᴛ ᴏғ ᴛʜᴇ ᴄᴏɴᴄᴇʀɴ ᴅᴜʀɪɴɢ ᴀ ᴘᴀʀᴛɪᴄᴜʟᴀʀ ᴀᴄᴄᴏᴜɴᴛɪɴɢ ᴘᴇʀɪᴏᴅ.

⬇

ᴀ. ᴘʀᴏғɪᴛ & ʟᴏss

Answer 2

Profit and loss account charges COGS and other direct expenses and losses against the sales revenue to determine gross operating result of the concern during a particular accounting period.

• The Profit & Loss (P&L) account is used to monitor a company's earnings and costs over a predetermined time period, which is usually a year.
• It is a financial statement that lists the receipts, outlays, and costs for a particular time period.
• The P&L account compares the sales revenue with the cost of goods sold (COGS), other direct expenses, and losses to calculate the business's gross operating result.
• The P&L account is a crucial financial statement that aids companies in monitoring their performance and determining the best way to allocate resources and control costs.
• In order to assess a company's financial stability and viability, investors and analysts also use it.

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