The Profit and Loss Report is a financial document used to view a business' profits and losses over a given period of time. By using this report, business owners can analyze their financial health and understand how to adjust the way they manage finances. It is an invaluable tool for keeping track of a business performance.
To Access Profit and Loss Report
Go to Web App : https://web.dizlog.com/dashboard/mpos/profit-loss
** note P&L is only available in Web App
Components of a Profit and Loss Report
A Profit and Loss Report includes the following components:
Total Revenue
Total Revenue
Total revenue - POS > Reports > Sales > Sales Summary
Cost of Goods Sold (COGS)
Cost of Goods Sold (COGS)
Beginning Inventory - count of inventory items
Purchases - amount of total purchases made through receives stock invoices
Ending Inventory - count of inventory after sales
Total Cost of Goods Sold - is the result of (Beginning Inventory) + (Purchases) - (Ending Inventory)
Gross Profit - is the difference from (Total Revenue) - (Total Cost of Goods Sold)
Operating Expenses
Operating Expenses
Data are based on default expenses categories - where you used to select in adding or entering Pay-out (expenses) in cash management feature
Default Categories under this component are:
Salaries and Wages
Rent Expense
Utilities Expenses
Advertising Expenses
Other Expenses
Total Operating Expenses - are the sum of all default categories above
Operating Income / (Loss) - is the difference of (Gross profit) - (Total operating expenses)
Other Income
Other Income
Data are based on default and custom income categories - where you used to select in adding or entering Pay-in (Income) in cash management feature
Default Categories under this component are:
Interest Income
Other Income
Total Other Income - is the sum of all default income categories and custom income categories .
ℹ️ Here's a quick guide on how you can create custom income categories:
Other Expenses
Other Expenses
Data are based on default and custom expenses categories - where you used to select in adding or entering Pay-out (expenses) in cash management feature
Default Categories under this component are:
Depreciation
Interest Expense
Other Expense
Total Other Expenses - is the sum of all default expenses categories and custom expenses categories .
ℹ️ Here's a quick guide on how you can create custom expense categories:
Net Income
Net Income
Net Income / (Loss) Before Tax - is the value from (Operating Income) + (Total Other Income) - (Total Other Expenses)
Income Tax Expense - POS > Reports > Cash Register > Pay In/Pay Out > Type Pay Out & Reason = Income Tax Expense > Sum of Amount
Net Income / (Loss) After Tax - is the difference from (Net Income/(Loss) Before Tax) - (Income Tax Expense)
Conclusion
The Profit and Loss Report is a useful tool for any business owner to monitor their financial performance. By understanding the components of the report and how to use it, business owners can make better decisions about their finances and maximize their profits.