Profit and Loss Report

Profit and Loss Report

The purpose of the Profit and Loss (P&L) report is to provide a comprehensive overview of the financial performance of a business during a specific period. This report summarizes the total income and expenses, allowing businesses to measure their profits and assess their financial health.
Report Summary
  • The P&L report is also referred to as the income statement or the statement of operations.
  • It is available for users who utilize the cash basis accounting method.
  • To change the accounting method, navigate to Store Settings > Accounting Method.
  • Under the Reports section, all sales reports are displayed under the Cash Basis heading.
  • Only limited reports are available under the cash basis of accounting.
Report Format:

Report Data:
The following data is included in the Profit and Loss report:
Gross Sales:
  • It displays the data for all sales and expense accounts.
  • Total gross sales represent the total cash sales value for specific categories (e.g., repairs, casuals, trade-in, unlocking, bill payments) within a defined time period.
  • Inter company sales are only shown to customers who have enabled the inter company billing module.
Discount:
  • It shows the sum of line-item discounts applied within the given time period.
Net Sales/Payments Received:
  • Net sales/payments received represents the hard cash value that the business has received during the specified time period.
  • It is calculated as Total Sales minus Discounts.
Other Income:
  • This category includes the sum of all cash transactions for a specific time period excluding sales.
Cost of Goods Sold:
  • It reflects the sum of the cost of goods sold for each applicable category (e.g., repairs, accessories) during the specified time period.
Gross Profit:
  • Gross profit is calculated by subtracting the Cost of Goods Sold from Net Sales.
Expenses:
  • This category covers various expenses, including cash out transactions, trade-in purchases, and data from all expense accounts, within a specific time period.
Net Profit Before Tax:
  • It is calculated as Gross Profit minus Total Expenses.
Tax:
  • Tax reflects the value of tax received from customers over a certain time period.
Net Profit After Tax:
  • It represents the final calculation in the report, calculated as Net Profit Before Tax minus Tax.
Key Takeaway:
The Profit and Loss report serves as a crucial financial tool for businesses to evaluate their performance by analyzing income, expenses, and overall profitability. By understanding the components and interpretation of this report, businesses can make informed decisions to maximize their profits and ensure financial stability.
Contact Support
If you have any questions or require further assistance, please visit our website atwww.repairdesk.co or email us at support@repairdesk.co. Our support team is ready to help you with any queries or concerns you may have.