IGCSE · Business Studies · Chapter 19

Ch 19 Profit and Loss and the Statement of Financial Position: complete notes

Neat, exam-ready notebook-style notes for Ch 19 Profit and Loss and the Statement of Financial Position, following the Cambridge IGCSE 0264 syllabus. This chapter is part of the complete IGCSE Business 0264 Complete Notes: All 23 Chapters with Case Studies and Mark Schemes (Cambridge 2027–2029).

Free preview: Ch 19 Profit and Loss and the Statement of Financial Position notes

A quick look at the chapter from our IGCSE Business Studies notes. The full chapter notes have the detailed explanations, diagrams and practice questions with answers.

Topics in this chapter

1. 5.3.1 What is profit?
2. Why profit is important to private sector businesses
3. 5.3.2 The statement of profit or loss
4. Cost of sales or expense? Sorting the costs
5. Making decisions with a statement of profit or loss
6. 5.4.1 The main elements
7. Calculations based on a statement of financial position
8. Working capital
9. The concept of capital employed
10. Making decisions with a statement of financial position

“I can” checklist: what you must be able to do

• define profit precisely and explain four reasons why it matters to private sector businesses
• name and explain each feature of a statement of profit or loss
• calculate revenue, cost of sales, gross profit, expenses and profit, including missing figures
• use statements of profit or loss to explain changes and make decisions
• classify items as non-current or current assets and liabilities
• calculate total assets, total liabilities, working capital and capital employed
• use a statement of financial position to make decisions about finance

What is inside the full chapter notes

• Concept notes, model statements, figures and 8 worked examples (calculations and model answers)
• Exam skills for Papers 1 and 2; common mistakes from the examiner report
• 20 quick-check multiple-choice questions, explained
• Two Paper 1 style questions and one Paper 2 style case-study question, all with full mark schemes
• Quick-reference table, "I can" checklist

See real pages (free sample)

Get all 23 chapters · ₹499

What you get in the pack

• All 23 chapters of the Cambridge IGCSE Business 0264 syllabus (exams 2027–2029): business activity and sectors, enterprise and growth, types of organisation, objectives and stakeholders, human resources, organisation and management, communication, motivation, marketing, market research, the marketing mix, production and technology, sustainability and quality, costs and break-even, location, finance, cash flow, financial statements and ratios, and the economic, international, environmental and ethical influences on business
• Every syllabus statement covered in order, with clear notes, diagrams and real-business style examples drawn for these notes
• Worked examples, case-study exam skills and key definitions in every chapter
• Common mistakes taken from Cambridge examiner reports, so you know where marks are lost
• 20 quick-check MCQs per chapter with answers and explanations
• Original exam-style questions in the style of Paper 1 (short answer and data response) and Paper 2 (case study), with full mark schemes (no past-paper reprints)
• Quick-reference sheet and an "I can" checklist at the end of every chapter
• Colour PDF and a black and white copy of every chapter for printing
• Independent notes; not endorsed by or affiliated with Cambridge University Press & Assessment

All chapters in this pack

1. Ch 1 Business Activity and Economic Sectors
2. Ch 2 Enterprise, Business Growth and Size
3. Ch 3 Types of Business Organisation
4. Ch 4 Business Objectives and Stakeholders
5. Ch 5 Human Resource Management
6. Ch 6 Organisation and Management
7. Ch 7 Methods of Communication
8. Ch 8 Motivating Employees
9. Ch 9 Marketing and the Market
10. Ch 10 Market Research
11. Ch 11 Marketing Mix: Product and Price
12. Ch 12 Marketing Mix: Place, Promotion and Legal Controls
13. Ch 13 Production and Technology
14. Ch 14 Sustainable Production and Quality
15. Ch 15 Costs, Scale of Production and Break-even
16. Ch 16 Location Decisions
17. Ch 17 Business Finance
18. Ch 18 Cash Flow Forecasts
19. Ch 19 Profit and Loss and the Statement of Financial Position
20. Ch 20 Analysis of Accounts
21. Ch 21 Economic Issues
22. Ch 22 Business and the International Economy
23. Ch 23 Environmental and Ethical Issues and Pressure Groups