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Accounting
A plain-language walkthrough of what your P&L is telling you.
A profit & loss statement shows whether your business made money over a period. It reads from top to bottom: revenue, cost of goods sold, gross profit, operating expenses, and finally net profit.
Gross profit tells you how much is left after the direct costs of delivering your product or service. If it is shrinking, look at pricing or input costs first.
Operating expenses — rent, salaries, software, marketing — sit below that line. Compare each category with prior months to spot costs growing faster than revenue.
Net profit is what remains. Track it as a percentage of revenue over time; the trend matters more than any single month.