Your company has an important subsidiary operating in the United Kingdom.The Canadian equivalent to the "Profit and Loss" section appearing on the Equity section of the subsidiary's balance sheet would be

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Retained Earnings represent the profits or earnings that a company has accumulated over time and has chosen to keep as opposed to distributing as dividends to shareholders. This is equivalent to the Profit and Loss section on the Equity section of a balance sheet, as it shows the net income or loss of the company over a period of time. Contributed Surplus and Special Reserve are not equivalent as they represent different aspects such as additional capital contributions and reserves set aside for specific purposes. Common Shares represent the ownership interest in the company and are not specific to the Profit and Loss section.

Your Company Has an Important Subsidiary Operating in the United