One of the mysteries of the English language finally explained.
1An account in the books of an organization to which incomes and gains are credited and expenses and losses debited, so as to show the net profit or loss over a given period.
- ‘The gross depreciation was debited in the profit and loss account followed by a simultaneous credit to the profit and loss account to adjust for the capitalisation of the depreciation in stock.’
- ‘Elan has put $40 million per annum in interest and dividend income in its profit and loss account from this source, even though it hasn't actually received the money.’
- ‘The cost of past redundancies was accounted for by the release of a provision of €412 million made in 2000-2001 and was therefore not expensed in the profit and loss account last year.’
- ‘Now, the fair value of the option will be imputed at the time of issue and amortized as an expense in the profit and loss account over the vesting period.’
- ‘Like most companies it has increased the percentage of its wage and salary bill that it expenses to its profit and loss account for pension contributions from 3.5 per cent to 4.3 per cent.’
- 1.1 A financial statement showing a company's net profit or loss in a given period.
- ‘It is one that appears neither in its balance sheet nor in its profit and loss account, but discreetly in the notes: it is the performance of its fund management arm.’
- ‘Abbreviated accounts contain no profit and loss account, no directors' report, and only an abbreviated balance sheet.’
- ‘Although net cash is shown on the balance sheet, the profit and loss account shows an amount for interest paid, suggesting the company runs with small net debt for most of the year.’
- ‘This led to a widespread practice of preparing a detailed profit and loss account internally while presenting a summarised statement to the general meeting for approval and publication.’
- ‘The operation, in which the bank has invested £7.3m, will publish its own profit and loss accounts.’
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