Why when company accounts are prepared is there a profit and loss?
The reason you cannot (and wouldn't want to) combine the two statement is because they tell two different stories. The balance sheet tells the story of the financial condition of the business as of a certain point in time. Think of it as a photograph. Assets, liabilities and equity. The income statement tells the story of what happened to the business over a period of time. Think of it as a movie. Income and expenses. So that is the basic distinction and the reason why you don't see a statement which combines the two.