Profit and loss accounts Flashcards
1
Q
What is the difference between a balance sheet and a profit and loss account?
A
A balance sheet is a financial snapshot at one given time showing the financial position of the company
2
Q
What is a profit and loss account?
A
A profit and loss shows a companies revenue and expenses over a period of time, normally a year, it shows whether a business has made a profit or loss in that period.
