1. What is a profit and loss statement? 2. Why is it important for businesses to prepare a profit and loss statement? 3. Select the correct answer: a. Cost of Goods Sold is calculated as follows: (a)...

1.    What is a profit and loss statement?


2.    Why is it important for businesses to prepare a profit and loss statement?




3.    Select the correct answer:
a.    Cost of Goods Sold is calculated as follows:
(a) Revenue minus labour costs
(b) Sales minus departmental contingencies
(c) Opening stock plus requisitions, less closing stock
(d) Opening stock plus closing stock minus revenue/sales


4.    What is a balance sheet?