ABSTRACT
The second document is the Profit and Loss account (or ‘trading account’), which gives the cumulative flows into and out of the tank over the twelve months of the financial year. The flow into the tank is the company’s Turnover, that’s the total amount of money that has been invoiced during the year. A contractor’s Profit & Loss account might also show other sources of income – for example, income from shares in a consortium or Joint Venture or fees from technology licenses – but these would normally be small.
