the form laws loss and profit points.
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No specific format of Profit & Loss Account is given for the sole traders and partnership firms. They can prepare the P&L Account in any form. However, it should reflect the gross profit & net profit separately.
Usually, these entities prefer “T shaped form” for preparing P&L account.
T-shape Form T-shape form P&L account has two sides – Debit & Credit. Trading account is prepared first followed by Profit & Loss Statement
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