Business Budgeting

Income

Expenses

Profit

Loss

Profit and Loss

Profit and loss are ways to understand how much money a business makes or loses when selling things.

When a business creates a product or provides a service, there are costs involved, like materials and labor. If the total cost to deliver the product or service is lower than the price they charge customers, they make a profit. But if it costs a lot to create the product or offer the service and they sell it for less, they end up losing money.

Businesses also examine how much profit or loss they have in relation to their original costs. This helps them determine if they’re doing well or if they need to make changes. Understanding profit and loss is essential for running a successful business!

Below are two game options once the worksheet is completed to a good standard.