Question

WHAT DOES 3BL STAND FOR AND WHAT DOES IT MEAN IN ACCOUNTING PARLANCE?

Answer 1

3BL or TBL stand for Top bottom line.

It in Accounting parlance means measurement of triple line namely people, planet and profit and company’s performance in the field of social ,environmental aspects.it may be for :

People+ Planet =Social + Environmental responsibility.

That implies focusing on Social and environmental concerns in the way they keep on profit.

Here world triple has its own significance , it asks company to focus on triple factor instead of only one i.e. Profit, people and planet.

Generally it talks about Corporate Social Responsibility .The responsibility of corporates to the environment from their products and to people. Various industries are mad by law to maintain a fixed percentage of expenditure annually allocable for the above mentioned CSR activities.

Profit motive is the general motive for every company but they ought to understand their dependency on environment from which they take inputs, process them and provide finished goods in this environment. As Companies , if they don’t follow this , it will lead to various environmental hazards as global warming which we facing these days , depletion of ozone layer(which have been recovered during lockdown period amid corona outbreak due to shut of many factories.)