Which statement about the preparation of the Profit & Loss Account is incorrect?

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The Profit & Loss Account is prepared for a specific timeframe, making it a periodic report.This account excludes any impacts arising from non-financial factors.Net profit figures are determined using current cost values.The net profit shown in the Profit & Loss Account is not an exact figure.None of the above.

Explanation

Option C is inaccurate because net profits in the Profit & Loss Account are generally calculated based on historical costs, not current costs. The other statements correctly describe the nature and limitations of the Profit & Loss Account.