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When trading, the commission paid typically goes to the brokerage firm facilitating the transaction. This cost is deducted from the trader's profits or added to their losses, impacting the overall profit and loss account. In essence, commissions reduce the net gains from successful trades and increase the losses from unsuccessful ones. Consequently, they are an essential consideration in evaluating the overall performance of a trading strategy.
What else can I help you with?
Where does the commission goes on the manufacturing trading profit ans loss account?
In a manufacturing trading profit and loss account, commission expenses are typically recorded under operating expenses. They are deducted from the gross profit to determine the net profit or loss for the period. This reflects the cost incurred in generating sales, impacting the overall profitability of the manufacturing operation.
Is profit and loss account is a nominal account?
Yes. Profit and loss account is a nominal account and also trading a/c to be prepared at the end of the year.
Profit and loss account of cocacola company?
i want to analyze the trading and profit and loss account for coca cola company could you help
What are the final statements of the business?
final statements are trading account,profit and loss account,balance sheet.
What is trading account and profit and loss account?
That is known as the income statement or can by IAS1 it's known as the statement of comprehensive income.
What commission is payable on transactions?
in the trading and profit and loss account where do i put commission payable
What is the entry for commission received in the trading profit and loss account?
Commission received will appear on the credit
Is profit and loss account is a nominal account?
Yes. Profit and loss account is a nominal account and also trading a/c to be prepared at the end of the year.
Profit and loss account of cocacola company?
i want to analyze the trading and profit and loss account for coca cola company could you help
Preparing departmental trading and profit and loss account?
When preparing departmental trading and a profit and loss account, expenses must be taken into account first. These include departmental expenses, and common expenses, including administrative expenses.
Advantages and disadvantages of trading profit and loss account?
: Profit and loss account gives the actual information about net profit or net loss of the business for an accounting period, Profit and loss account gives the actual information about indirect expenses, Profit and loss account serves to show the ratio between net profit to sales, Profit and loss account helps in showing the ratio between net profit to operating expenses, Profit and loss account helps in controlling indirect expenses
Where do creditors go on a profit and loss account?
I'm a student myself but i don't think that you have to use creditors in a trading, profit and loss account....i think it's given for the balance sheet that you have to make after the trading, profit and loss account.
Purpose of profit and lost account?
The purpose of the profit and loss account is to give you an idea about whether a company has made a profit or loss more than a financial year. An income and loss account begins with the trading account and then takes into account all the other outcome associated with the company.
What are the final statements of the business?
final statements are trading account,profit and loss account,balance sheet.
How is carriage inward treated in a trading and profit and loss account?
it is added to the cost of sales
What is trading account and profit and loss account?
That is known as the income statement or can by IAS1 it's known as the statement of comprehensive income.
What are the limitations of profit and loss account?
"What are the limitations of profit and loss account?"
