Business P&L Structure
The Business P&L follows a standard operating statement:
- Revenue → Total Revenue (including Refunds as contra revenue)
- Cost of Goods Sold → Total COGS
- Gross Profit / Gross Margin
- Operating Expenses (Sales & Marketing + Software & Tech + Labor & Contractors + General & Admin)
- Operating Income / Operating Margin
- Non-Operating lines (Interest Expense/Income, Taxes)
- Net Income / Net Income Margin
COGS sits above Gross Profit; operating expense groups sit above Operating Income. Excluded from P&L categories do not appear in these totals.