Profit & loss account balance is negative which side you will shown in the balance sheet ?

Net profit or net loss is show under owner's equity section...like this...

If there is net income than it is show like this...

Owner's Equity

Capital          ,

Add:Net profit7,

Total owner's Equity,

and if there is net Loss than it is show like this

Owner's Equity

Capital          ,

Less:Net Loss (7,)

Total owner's Equity,

Hope that you get it

A negative on a profit or loss account will reduce the reserves in the balance sheet. The value of the business will reduce.

Asset side on balance sheet