#1 of 8 - Run a Profit & Loss Report (aka P&L or Income Statement) in QuickBooks

#1 on the list of "8 Things Every Business Owner Should Know How to Do In QuickBooks"

Run and Review a Profit & Loss Report (aka P&L or Income Statement)

  • HOW? Reports – Company & Financial – Profit & Loss Standard
    • To increase the fun, modify the report to include a prior year comparison. This will highlight any major discrepancies from prior years.  If you know your business, these will be obvious. When report is open:  
      • Customize Report – Prior Year Comparison (check off $ and %.  It’s enlightening!!)
  • WHY?  You know your business.  Line items that don’t look right, probably aren't.
    • Line items that don’t look right (Wages seem too low?  Meals and Entertainment too high? Income seems off?) You know you went on a business trip but don’t see anything in the ‘Travel” line? You can double click on any line to open up the detail to see what’s behind the numbers.