PROFIT AND LOSS

We often hear and use the term and concept of profit and loss in our everyday life. For example, a shopkeeper sells a pen at Rs.6 whereas it cost him Rs.5. then the shopkeeper is making a profit of Rs.1. Profit and Loss chapter is an important chapter in business as it provides a base by helping in finding out the percentage profit earned by a person doing business. It also helps in determining the selling price of a product or service to be charged from customer. This chapter will help us understand the concept of profit and loss and see how they are calculated.