Differences Between Profit and Loss Account and Statement Of the Profit or Loss

Profit and Loss account	Statement of Profit (Or) Loss
Gross Profit and Net profit can be found out	Only Net profit can be found out.
The performance of the business can be measured.	The performance of the business cannot be measured properly
It helps the users in taking important decisions.	The users cannot rely this system because the profit is ascertained from incomplete records.
It helps to ascertain the income from the business and income from other sources	No such allocation is possible under this system.