what is diff between p&l & trading a/c
- 13 Answers
- 16426 Views
- CA, I also Faced
- E-Mail Answers
Answers were Sorted based on User's Feedback
Answer / manali mitra
trading is relate to all direct exp.but p&l a/c represent
all indirect exp.
| Is This Answer Correct ? | 29 Yes | 3 No |
Answer / sethuraman
Trading Account is based on Factory Process,its involved
Procuction Expenses,Material Consumtion this Expenses is
not Fixed Expenses.
P&L Account is Based on Office
Expenses,Marketing,Advertisement& Admin Related this is
Indirect Expenses.It is contain Fixed & Variable Expenses.
| Is This Answer Correct ? | 27 Yes | 3 No |
Answer / anitha
trading account consist of direct expenses and income, it
has gross profit/loss
p&l consist of indirect expenses and income, it has net
profit/loss.
| Is This Answer Correct ? | 23 Yes | 0 No |
Answer / jyoti chaudhary
P&L account is prepared to know the exact profit and loss
of the company by taking into consideration the Gross
profit and finding out the Net profit of the company which
is further taken into consideration to prepare the Balance
Sheet which shows the position of the company in front of
its creditors, debtors and investors.
Trading Account is prepared to know the Gross
Profit.Trading Account is prepared by taking all the
factory or production related expenses.
| Is This Answer Correct ? | 12 Yes | 1 No |
Answer / sridharan.v
Trading Account is based on Factory Process,it is involved i
in Procuction,Material Consumtion this Expenses is
not Fixed Expenses.The result Arrived from this is called
Gross profit or Gross loss.
profit and loss consist indirect expenses and indirect
income The result Arrived from this is called net profit
| Is This Answer Correct ? | 10 Yes | 0 No |
Answer / smitha. b
Trading account which refers to a account where we enter
all the direct manufacturing expenses inccured and at last
we get the Gross profit or Gross loss.
Profit and loss account which refers to a account where we
enter all the indirect expenses and incomes and at last we
get the Net profit or Net loss
| Is This Answer Correct ? | 7 Yes | 0 No |
Answer / ayyalusamy
Trading account is prepared to arrive gross profit by (sales
+closing stock ) minus all direct / manufacturing / Trading
expenses.
where as P&L account gives net profit of the company, it
shows gross profit and other income in credit side and all
indirect expenses, loses and provisions in debit side.
In total Trading account shows cost of the product at which
goods lying at factory, where as P& L account shows cost of
the product on sales point.
| Is This Answer Correct ? | 7 Yes | 1 No |
Answer / shashi sharma
Trading account is that account where we entered the all
direct expenses releted to gross profit and manufactur or
production expenses. e.g- carriage inward,wages,purshases
etc.
p&l account is releted with net profit and indrict expenses
or all out of productioon expenses and manufactur
expenses.e.g- carriage outward, income,commission,bad
debts, insurance and also it include official expenses.
| Is This Answer Correct ? | 7 Yes | 1 No |
Answer / bal
Trading a/c relates with all the direct expenses which is
directly related with the firms core operation or core business.
P&L a/c relates with all the indirect expenses which is
incurred to support the firm's core business or help to
increase the firm,s core business.
| Is This Answer Correct ? | 7 Yes | 1 No |
What is a dead A/c?
legal accounting methods to reduce profit of a partnership firm so as to reduce the tax liability?
What is ment by MIS reporting?
27 Answers Deloitte, Hotel Jobs,
What is finance lease
0 Answers Capital IQ, Genpact,
EXPAND______________ICC
Define bank Cheque
sales-140000 variable overheads-96000 gross profit-44000 fixed overheads-16000 net profit-28000 find out p.v.ratio and breakeven point
EXPAND______________OBC
what is shadow balance?
1 Answers BOB Technologies, Reliance,
what is MIGO and MIRO ?
What type of question generally asked in Brokerage Firm ?
What is meant by advance ruling? What is the scheme of advance rulings?
Audit 
