2nd Edition by Edwin Olima FCCA
that the final trial balance
been prepared, we can check to see if The Company Limited is making
a profit or a loss. To do this it is necessary to compile a summary
of the income and expenses
the business during a given period. This summary is called a profit
and loss account.
Using the final trial balance
, enter the relevant figures in the profit and loss
below. A few have been done for you. Totals have been left in to
help you check your entries as you go along.
Profit and Loss account for the year
your answer with the one in the answer section at the back of the
book. When you have referenced your working papers (See APPENDIX
), you can enter your references in the reference column
above to show where the figures come from.