Level 1

My profit and loss report shows a negative net income. My bank account is not in the red. What does this mean?

 
Moderator

Account management

It's nice to have you here, greenpointchurch.

 

Profit and Loss shows a negative income when there is an exceed in your expenses. You'll want to verify the transactions from your income and expenses and make sure they are posted in the correct accounts.

 

Here's how:

  1. Go to Reports.
  2. Enter Profit and Loss report in the search field.
    1.PNG
  3. Click the Net Income amount to show the list of the transactions.
  4. Start reviewing the transactions.

I'll leave you with an article to know more about net income: What is net income and how does it affect your bottom line.

 

I'd also suggest consulting your accountant to discuss more about your accounting books and your Profit and Loss report.

 

You can always reach back to me for any questions. It's always my pleasure to help. Have a good one.