Difference between P/L a/c and Trading a/c
- 13 Answers
- 49435 Views
- I also Faced
- E-Mail Answers
Answers were Sorted based on User's Feedback
Answer / pranjal
differance between p/l a/c and trading a/c means
Trading a/c is that a/c which includes only trade related
a/cs like purchase,sales and all those epenses which
incurred only from trade.
But in Profit and Loss a/cs there is the all
direct/indirect income/expenses are to be recorded which
not related to the pure trade.
| Is This Answer Correct ? | 90 Yes | 19 No |
Answer / shanmuga priya
The difference between p/l a/c and Trading a/c is that in
Trading a/c direct income and expenses are entered such as
opening stock, purchases, freight charges , sales, closing
stock.
in Profit and loss a/c. indirect expenses and income are
recorded such as depreciation, salary, rent, commission
received,
| Is This Answer Correct ? | 42 Yes | 7 No |
Answer / harpreet
The trading a/c is an account which is prepared to show the results of gross profit and gross loss during an accounting period..
A profit and loss a/c is an account which is prepared to show the result of net profit and net loss for a particular time of period....
| Is This Answer Correct ? | 16 Yes | 3 No |
Answer / pradeep
difference between trading & P&l a/c is trading account is
show all trade related expenses & Incomes & gross profit
but P&L a/c show Net profit of a co. or firms it show all
typs of income & Expenses .
| Is This Answer Correct ? | 15 Yes | 3 No |
Answer / janardhan
differance between p/l a/c and trading a/c means
Trading a/c is that a/c which includes only trade related
a/cs like purchase,sales and all those epenses which
incurred only from trade.
But in Profit and Loss a/cs there is the all
direct/indirect income/expenses are to be recorded which
not related to the pure trade. trading account profit add
in p & L a/c, trading account loss less from P&L a/c
| Is This Answer Correct ? | 17 Yes | 7 No |
Answer / sornavalli
trading account
prepared to know the trading results of the company
to find gross profit of a specific period
sales - cost of goods
p/l accounts to find the net profit of the concern
allows to enter indirect exp &incomes
prepared from nominal accounts and transvered to capital
accounts
| Is This Answer Correct ? | 8 Yes | 2 No |
Answer / pradnya
Trading A/C means which includes all direct and indirect
expenses and incomes. and which also includes
Dr. Trading Account Cr.
______________________________________________________________
Opening Stock Sales
+ Purchases - Sales Returns
- Purchase Returns
Direct Expenses
(Factory related Exps
such as wages,electricity use Closing Stock
for manufacturing etc)
| Is This Answer Correct ? | 10 Yes | 5 No |
Answer / sachin
trading accounts records all income or expence which is
inccured for trading.like purchase, sale ,carrige,wages
closing stock,it shows gross profit and loss
put the p/l records all indirect or directs exp or
indirects expence......it shows net profit which goes to
add in capitail in balance sheet
| Is This Answer Correct ? | 12 Yes | 8 No |
Answer / suraj
TRADING ACCOUNT IS PREPARED BY TRADER AND TRADING ACCOUNT
IS PREPARED TO ASCERTAIN THE GROSS PROFIT OR GROSS LOSS
G.P.=SALES -COST OF GOODS SOLD
THE NEXT IN THE PREPARATION OF FINAL ACCOUNTS IS THE
PREPARATION OF P&L A/C . IT IS OBSERVED THAT SOME ITEMS OF
REVENUE NATURE WILL BE TAKEN IN TRADING A/C AND REMAINING
ITEMS TAKEN IN P&L A/C THERE FORE TO ASCERTAIN NET PROFIT
OR NET LOSS
| Is This Answer Correct ? | 6 Yes | 3 No |
Answer / mubashshir
TRADING ACCOUNT IS MADE BEFORE PROFIT AND LOSS ACCOUNT WITH ALL EXPENSE REALTED TRANSACTION AND TO FIND OUT GROSS PROFIT AND LOSS
PROFIT AND LOSS ACCOUNT IS PREPARED AFTER TRADING ACCOUNT AND BEFORE BALANCE SHEET DIRECT/INDIRECT INCOME/EXPENSES ARE TO BE RECORDED WHICH ARE NOT RELATED TO THE PURE TRADE.
| Is This Answer Correct ? | 4 Yes | 1 No |
If the financial year is Jan till Dec then would we make any entry for the telephone bill of Dec, whose invoice/bill would generate in Jan of next year. If yes what would be the amount as bill is still not received and what would be the adjusting entereis. Also how to rectify the same in next year?
what is the difference between derivatives and swaps
9 Answers Capital IQ, FactSet Systems,
PRELIMINARY EXPENSES INCURRED IN THE YEAR OCTOBER 2012 MONTH 5LAKS WHICH ACCOUNTED IN ASSET SIDE AS ''PRELIMINARY EXPENSES''... IN YEAR END MARCH 2013, IN 5LAKS HOW MUCH AMOUNT SHOULD TAKE FOR PRELIMINARY EXPENSES WRITTEN OFF..?
What is an operative accounts?
Salaries and wages per general ledger is 288,000 of which 56,500 is paid in advance. Req: Prepare adjusting journal entries from the books of audrey company as of dec 31 09. (pls help me with this, I'm a bit slow but willing to learn, thanks!)
How can I date change in tally whenever new voucher entery. When I press F2 I can change the date only 1,2&31. When I feed other dates like 12,15,17, 21 etc. not changed. Please tell me how can I change the all voucher dates.
simple meaning of debit and credit...?
why only 6 months interest is charged on drawings
Provident Fund a/c will comes under which account Personal, Real or Nominal A/c
what is the difference between profit and revenue?
What is the basic difference between bond and debenture? it,s very urgent please guys give me a quick reply
what is the difference between reserves & provisions and accumulated reserves & surplus
Audit 
