What type the Profit and Loss account is? I mean is P&L account a real account or nominal account. Thank You.
![]() |
What type the Profit and Loss account is? I mean is P&L account a real account or nominal account. Thank You.
Profit and Loss statement is known as an Income Statement. The Income Statement accounts are nominal accounts, which means a temporary account because Income Statement accounts, which are Revenues and Expenses are closed out at the end of an accounting period.
Balance Sheet accounts are known as real accounts because they are not closed at the end of an accounting cycle.
All times are GMT -7. The time now is 08:51 PM. |