Abdulalah Al-Jobore
Unit 5: Task 3 P4 P5
P4 prepare a profi aan ooo accouai aan ba aace oheei for a givea
orgaaioatioa
Traniag Profi aan Looo accouai for ee Moaey Accouaiaaio Y/E 31oi March 2018
£ £
Sa eo 100,000
Opening stock 30,000
Purchase 10,000
Total stock 40,000
Closing stock (10,000)
Cost of sales 30,000
Other direct costs 24,000
Toia cooi of oa eo 54,000
Grooo Profi 46,000
Expeaoeo
Wages 1500
Rent 2580
insurance 2000
Utilitl Biills 2400
Distributions costs 3000
Toia expeaoe 11480
Operatiag Profio 34520
Taxes (8000)
Rental receive 5000
Overdrafts interest (7000)
other income ( discount) 2000
Commission received 4000
(4000)
eei Profi 30520
, Abdulalah Al-Jobore
Unit 5: Task 3 P4 P5
Traniag Profio aan Looo Accouai
The purpose of using the proft and loss account is to show what the amount of monel has
been made over a fnancial lear. It will be useful, as it will help a bank or other lender or
investors to choose whether the business is worth to risk their monel in investing the
business. It is important for some business such the private limited campiness and other
sole traders, as it will be valuable for them to have the abilitl to see how much profts has
been made over a specifc fnancial lear and also to check their revenue and expense in
that period of time . Usualll business will use the proft and loss account as it will help them
to plan for their future fnances and it can help while making their budget.
The statements above shows the New Monel Accountants proft and loss account, this also
show the stock and the gross proft and net proft, which help to check fnancial health of
the business.
The proft and loss account is important for business as it give some information to people
who are interesting to invest in the business, as it will show them how much proft is the
business is making. As along as the business is making higher proft, the beter performance
that business will has.
The ee Moaey Accouaiaaio ba aace oheei 31oi March 2018
Unit 5: Task 3 P4 P5
P4 prepare a profi aan ooo accouai aan ba aace oheei for a givea
orgaaioatioa
Traniag Profi aan Looo accouai for ee Moaey Accouaiaaio Y/E 31oi March 2018
£ £
Sa eo 100,000
Opening stock 30,000
Purchase 10,000
Total stock 40,000
Closing stock (10,000)
Cost of sales 30,000
Other direct costs 24,000
Toia cooi of oa eo 54,000
Grooo Profi 46,000
Expeaoeo
Wages 1500
Rent 2580
insurance 2000
Utilitl Biills 2400
Distributions costs 3000
Toia expeaoe 11480
Operatiag Profio 34520
Taxes (8000)
Rental receive 5000
Overdrafts interest (7000)
other income ( discount) 2000
Commission received 4000
(4000)
eei Profi 30520
, Abdulalah Al-Jobore
Unit 5: Task 3 P4 P5
Traniag Profio aan Looo Accouai
The purpose of using the proft and loss account is to show what the amount of monel has
been made over a fnancial lear. It will be useful, as it will help a bank or other lender or
investors to choose whether the business is worth to risk their monel in investing the
business. It is important for some business such the private limited campiness and other
sole traders, as it will be valuable for them to have the abilitl to see how much profts has
been made over a specifc fnancial lear and also to check their revenue and expense in
that period of time . Usualll business will use the proft and loss account as it will help them
to plan for their future fnances and it can help while making their budget.
The statements above shows the New Monel Accountants proft and loss account, this also
show the stock and the gross proft and net proft, which help to check fnancial health of
the business.
The proft and loss account is important for business as it give some information to people
who are interesting to invest in the business, as it will show them how much proft is the
business is making. As along as the business is making higher proft, the beter performance
that business will has.
The ee Moaey Accouaiaaio ba aace oheei 31oi March 2018
