What are the main differences between the income statement and the profit and loss account?

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In a very brief and precise wording:

1-      Profit and loss account is in fact not an actual account , but it is a default account issued in order to close some sub-accounts to reach the net profit / loss, whereas the Income Statement is actually a statement describe and showing only all financial information, especially the expenses and the incomes during the financial period.  

2-     THe Income statement shows the financial information subtracted from both the trial balance and profit and loss account, so it is more accurate than profit and loss account.

3-      Despite that the Income Statement and the Profit and Loss account are both has to provide us with the same results, but profit and loss account is more understood only to the accountants, whereas the Income statement is easy understanding by all the concerned parties.

 

4-      The Income Statement is more updating system than profit and loss account system.

 

One of the major differences between the profit and loss statement and the balance sheet involves their respective treatments of time. The balance sheet summarizes the financial position of a company for one specific point in time. The P&L statement shows revenues and expenses during a set period of time

You can determine only gross profit from P/L but Income statement shows the whole amount that you earned (Net Profit)Secondly Income Stament shows the Whole worth of your business in the accounting period but P/L account shows the individual worth

 

Well, this is not a question about accounting. The question is all about ENGLISH, please refer to dictionery/financial dictionery for the meaning of the word 'INCOME'. Anyhow, we all know that one of the golden rules of accounting is " Debit all expenses and credit all Incomes and gains". The statement/summary of this golden rule is Profit and loss a/c or statement. The second phrase of the rule is "credit all incomes and gains" and if you prepare a statement for this second part, it becomes Income statement.

There is no difference between income statement and profit and loss.

P&L is short for profit and loss statement. A business profit and loss statement shows you how much money your business earned and lost within a period of time.

 

There is no difference between income statement and profit and loss. An income statement is often referred to as a P&L. The income statement is also known as statement of income or statement of operations.

There is no difference between income statment and profit and lost statment. Income statment is often referred to as a P & L statment .