P&L
Revenue minus expenses
P&L is shorthand for profit and loss, referring to a financial statement showing revenues, costs, and resulting profit or loss over a period: Let me look at the P&L before we commit to that expense.
In business contexts, having P&L responsibility means being accountable for a unit's financial performance—its bottom line.
Periodic profit-loss report
- revenueBusiness income total
- expensesMoney spent on things
- bottom lineEssential point or conclusion
- gross marginProfit from direct costs
net income · operating income · EBITDA · earnings · cost of goods sold · overhead · variance · budget
Financial record book
- debitSubtraction from account
- creditRecognition or payment deferral
- journal entryDated record in diary
- accrualIncremental addition over time
cash basis · balance sheet · trial balance · closing · adjustments · accounts · bookkeeping · reconciliation
Holder of title
- managerOne who directs others
- accountabilityObligation for one's actions
- performanceCarrying out a task
- business unitDistinct operational segment
cost center · department · divisional · segment · controllable · targets · KPI · metrics
income statement
Periodic profit-loss report
- revenueBusiness income total
- expensesMoney spent on things
- bottom lineEssential point or conclusion
gross margin · net income · operating income · EBITDA · earnings · cost of goods sold · overhead · variance · budget · forecast
ledger
Financial record book
- debitSubtraction from account
- creditRecognition or payment deferral
- journal entryDated record in diary
accrual · cash basis · balance sheet · trial balance · closing · adjustments · accounts · bookkeeping · reconciliation · audit
owner
Holder of title
- managerOne who directs others
- accountabilityObligation for one's actions
- performanceCarrying out a task
business unit · cost center · department · divisional · segment · controllable · targets · KPI · metrics · bonus
- financial reportsannual report, quarterly report, income statement, balance sheet, cash flow statement
Assets-liabilities-equity report
cash flow statement · BS · assets and liabilities · net worth statement · capital account
profit, loss, profits, losses, profitable, profitability, unprofitable, lost, losing