See your profit and loss

The Profit & Loss report shows what you earned, what you spent, and what is left. Only the Owner can open it.

1. In the menu, open Reports and press Profit & Loss.
2. Under Period, choose the dates.
3. Read Net Profit. It is the money left after all your costs.
4. Look at Line Items to see each amount.

What the numbers mean

• Revenue is the money from your sales.
• COGS means cost of goods sold. It is what you paid for the items you sold.
• Gross Profit is Revenue minus COGS. Margin shows it as a part of your sales.
• Net Profit is Gross Profit minus your expenses and your lost stock. An exchange gain or loss changes it too.

The Line Items table shows two more rows:

• Operating Expenses are the expenses that were approved, like rent or power.
• Stock Write-offs is the stock you lost, like broken or wasted items.

When Net Profit is red with a minus sign, you spent more than you earned in those dates.

Bills you paid in other money

Do you buy from a supplier in other money, like US dollars? Then Line Items can show one more row: Exchange Gain/Loss. It shows only when you paid such a bill in the dates you chose.

When you pay, your bank's rate may not match the order's rate. Did you pay fewer rupees than the order's rate says? That is a gain. Paying more rupees is a loss. This is your exchange gain or loss.

• A gain adds to Net Profit.
• A loss takes away from Net Profit. It shows in red, with a minus sign.
• Gross Profit stays the same.

Each payment counts on the day you paid it. See Record a supplier bill.