P&L Basics
This financial statement measures the success of a company’s operations over a period of time.
What is the Statement of Activities, or P&L?
These are costs for producing and delivering products or services.
What are Cost of Services, or COS?
This version of financial results reflects what really happened.
What is Actual?
This is the income generated when a company sells goods or services.
What is Revenue?
These costs are not specifically related to making products or services but are still essential for managing and operating the product or portfolio.
What are Selling and General Costs, or SGC?
This version reflects what was planned for the calendar year.
What is Budget?
This is calculated as revenue minus expenses for a specified period of time.
What is Margin?
These overhead costs can be measured and allocated based on exam volumes or item counts, with examples including Surpass, Salesforce, Azure, and scoring systems.
What is Consumption-based Overhead Allocation?
This version reflects what we now expect to happen, using six months of actuals plus six months of new projection.
What is Forecast?