Difference b/w p&l and income and expenditure a/c

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indu (Querist)
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17 September 2012 Dear Sir

What is the difference B/w P& L and Income & Expenditure A/c.My Client is running a Dhaba so what should i prepare for it Income and Expenditure or P & L Account as there is no opening and closing stock and purchase is just consumable purchases.

Ahamed

Ahamed (Expert)
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17 September 2012 If it is Profit Oriented Business you have to go with the Profit & Loss A/c,

In case, non profit organisation you have to prepare Income & Exp. A/c.

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