Question: Explain why the income statement can also be called a "profit-and-loss statement." What exactly does the word balance mean in the title of the balance sheet? Why do we balance the two halves?
Explain why the income statement can also be called a "profit-and-loss statement." (Select from the drop-down menus.)
In reviewing the income statement of a profitable company, one can see that it begins with at the top and ends with at the bottom.
Had there been a loss for the year, the final result would have been a .