Profit and loss
What Profit and loss means in Business GCSE, as defined for AQA, Pearson Edexcel.
Definitions of Profit and loss
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Reference: AQA
Below break-even output total costs exceed total revenue, creating a loss; above it total revenue exceeds total costs, creating a profit.
A record of income earned and expenses incurred, including non-cash items such as depreciation.
Below the break-even point the business makes a loss; above it, a profit is generated.
Topics that use Profit and loss
- Cash flow (AQA GCSE)
- Financial terms and calculations (AQA GCSE)
- Business revenues, costs and profits (Pearson Edexcel GCSE)
Related terms
- Break-even level of output
- Margin of safety
- Revenue
- Total costs
- Average annual profit
- Average rate of return
- Average Rate of Return (ARR)
- Break-even
Using Profit and loss in the exam
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