Income and Expenditure report versus Profit and Loss report
Income and Expenditure Report Versus Profit and Loss Report
1. Income and Expenditure Report
A cash-flow Income and Expenditure report shows exactly how much money your business has received (income) and spent (expenses) over a certain period of time ie. it reflects your 'liquidity'. It is an excellent management and planning tool used to determine the short-term viability and liquidity of a business, specifically how well it is positioned to pay bills and suppliersThis report can be found by clicking
- Reports
- Cashbook Summaries
- Income and Expenditure menu option
2. Profit and Loss Report

A Profit and Loss report shows a businesses
Unlike the cash-flow reports, the P & L report takes into account changes in the value of trading stock. It gives a more accurate measure of profitability over a given period. A P & L report is used to determine the financial performance of a company.
This report can be found by clicking
For Cashbook Connect:
Article ID 1256