The Profit and Loss Account in the UK Is Generally

question 2

Multiple Choice

The profit and loss account in the UK is generally called the ____ in the USA.

• A) Revenue and expense account
• B) Result account
• C) Income generation account
• D) None of these.

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Definitions:

Unearned Revenue

Income received by a business for goods or services yet to be provided, recorded as a liability on the balance sheet.

Fees Earned

Revenue generated from services provided or work completed.

Net Income

The net income of a company, which is derived by deducting all costs, taxes, and losses from the overall revenue.

Net Loss

The result of a company’s expenses exceeding its revenues during a specific period, indicating a negative financial performance.