Brilliant Accounting

If you mean to profit, learn to please. Winston Churchill

In this chapter you’ll learn about the income statement, which shows how much profit or loss a business makes. The income statement is also called the profit and loss account and this term is still widely used. However, in 2005 there were changes throughout the European Union which required public companies (i.e. those quoted on a stock exchange) to adopt a common set of accounting standards. While the term profit and loss account is still used, the term income statement is becoming ...