___ is prepared to calculate the net profit earned and net loss incurred during the accounting period.

Balance Sheet

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Trading Account

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Profit and Loss Account

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

Financial Statement

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is C
Profit and Loss Account

Profit and Loss Account is prepared to calculate the net profit earned and net loss incurred during the accounting period.

Suggest Corrections

Similar questions

State whether the following statement are true or false.

1. Final Accounts are prepared on the basis of Trial Balance.
2. Trading Account is a part of Profit & Loss Account.
3. Profit Loss Account is prepared to find out Gross Profit or Gross Loss.
4. Gross Profit or Gross Loss is transferred to Balance Sheet.
5. An amount of net profit is added to the capital.
6. All indirect expenses are debited to trading account.
7. Balance Sheet is a statement and not an account.
8. Capital account is a personal account.
9. Amount of prepaid expenses appears on assets side.
10. Bank Overdraft is a liability of business concern.

Trading & Profit & loss account and balance sheet is prepared from:

Q. Steps of preparing Final Accounts is -
(a) Trading Account
(b) Profit and Loss Account
(c) Balance Sheet

Q. statement of profit and loss shows the comparison of the total income earned and expenses incurred during two or more accounting periods.

Give the correct chronological order of ascertainment of the following profits from trading and profit and loss account Operating rofit, gross profit, net profit .

Join BYJU'S Learning Program

___ is prepared to calculate the net profit earned and net loss incurred during the accounting period.

The correct option is C Profit and Loss Account Profit and Loss Account is prepared to calculate the net profit earned and net loss incurred during the accounting period.

The correct option is C
Profit and Loss Account

Profit and Loss Account is prepared to calculate the net profit earned and net loss incurred during the accounting period.