In the profit and loss account, the entrepreneurial success (i.e. profit or loss) is determined. For this purpose, all income and expenses are compared in financial accounting.
Expenses arise from the purchase of goods or the use of services. In the hotel, these are, for example, wages and salaries, energy and water, lease payments, sales commissions, payment of external cleaning, payment of business tax, purchase of goods necessary for the operation of the hotel.
Income is generated by the sale of operating services. This generates turnover (income from services), such as accommodation or F & B (food & beverage) turnover or turnover from conference room rental. If the hotel additionally rents out some rooms, e.g. to a beauty salon, the combined rents are also income. But just like interest income or income from securities trading, not from services.
Of course, (almost) every company plans for income to exceed expenses in order to make a profit. This is then called a net profit for the year.
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