Concept:Public accounting deals with government and public-sector records, so commercial statements like profit and loss account are not prepared.
Explanation:In public accounting, financial activities are recorded for government ministries, departments, and agencies.
The cash book is used to record all cash receipts and payments in the public sector.
The trial balance is prepared to check the arithmetical accuracy of ledger balances in public accounting.
The bank reconciliation statement is also used to agree the cash book balance with the bank statement balance.
However, the profit and loss account is a commercial accounting statement prepared by businesses to show profit or loss for a period.
Public sector entities do not use profit and loss account.
Instead, they prepare income and expenditure accounts or fund statements.
Therefore, the profit and loss account is not used in public accounting.
Answer:C. profit and loss account