BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -A net loss is when total expenses (including taxes, fees, interest, and depreciation) exceed the income or revenue produced for a given period of time.

Detailed explanation-2: -What is a Loss? A loss is an excess of expenses over revenues, either for a single business transaction or in reference to the sum of all transactions for an accounting period.

Detailed explanation-3: -Losses result from the sale of an asset (other than inventory) for less than the amount shown on the company’s books. Since the loss is outside of the main activity of a business, it is reported as a nonoperating or other loss. To learn more, see Explanation of Income Statement.

Detailed explanation-4: -Comparing Expenses and Losses The main difference between expenses and losses is that expenses are incurred in order to generate revenues, while losses are related to essentially any other activity. Another difference is that expenses are incurred much more frequently than losses, and in much more transactional volume.