In this year s profit carry forward, my finance expense is on the credit side, so how do I carry it

Both lines of thought are correct, but the second method is wrong at the time of carryover, which should be:

Credit: financial expenses in red).

Credit: Profit for the year.

Everything else is fine. According to the accounting subjects and accounting treatment regulations of the "Accounting System for Business Enterprises", the treatment of financial expenses is exactly the same as your first method

Finance Expenses. 1. This account accounts for the expenses incurred by the enterprise in raising the funds required for production and operation, including interest expenses (minus interest income), exchange losses (minus foreign exchange gains) and related handling fees. The part of the borrowing costs incurred for special borrowings for the purchase and construction of fixed assets that should be capitalized according to regulations before the fixed assets reach their intended state of use shall not be included in the accounting scope of this section.

2. The financial expenses incurred shall be debited to this account and credited to the accounts of "withholding expenses", "bank deposits" and "long-term loans". The interest income and exchange income that should be offset against financial expenses shall be debited to the accounts of "bank deposits" and "long-term loans" and credited to this account.

3. This account should be set up according to the expense items for detailed accounting.

4. At the end of the period, the balance of this subject should be transferred to the "current year's profit" account, and there should be no balance in this account after the carryover.

The financial cost of your unit is on the lender, and you can know that your unit has not borrowed from a financial institution, and the loan interest rate is much higher than the current deposit interest rate. The balance of financial expenses is on the credit side, and at the end of the year it is transferred to the credit of the current year's profit, i.e.:

Borrow: Finance Expenses.

Credit: Profit for the year.

Just flatten it.

Regardless of whether the balance is on the debit side or on the credit side, it must be carried forward at the end of the month, and after the carryover, there is no balance in the financial expense account.

In the case of manual accounts, carry forward the entries.

Borrow: Finance Expenses.

Credit: Profit for the year.

Or. Borrow: Profit for the current year.

Credit: Finance Expense.

In the case of software accounting, carry forward the entries.

Borrow: Profit for the current year.

Credit: Finance Expense.

Need to carry forward, the number is debited with a red pen: the current year's profit (red) credit: financial expenses (red).

No, you can simply transfer the debit to the current year's profit. Borrow: Financial Expense - Interest Credit: Profit for the Year.

1. Financial expenses are expense accounts, so when making vouchers for such accounts, it is best to do the amount of expense accounts on the debit side, and if it is interest income, it will be done as a debit red number. This makes it easy to set the formula when filling out the form. 2, so the finance charge is carried forward on the credit side:

Borrow: Profit for the Year (in red) Credit: Financial Expenses (in red).

Sales revenue 1000

Debit: Bank deposit 1170

Credit: main business income 1000

Tax Payable - VAT Payable (Sales Tax Amount) 170

The cost of carrying forward the sale of orange ants is 800

Borrow; The cost of main business is 800

Borrow; 800 items in stock

Profit or loss carried forward at the end of the month.

Borrow: main business income 1000

Borrow; The profit for the year is 1000

Borrow; This year's profit Cong Zhao 800

Credit: The cost of the main business is 800

The balance of main business income is 0 The balance of main business cost is 0

Profit for the year debits 800 credit 1000 balance (credit) 200 indicates profit.

Profit for the year"The account is the accounting of the annual operating results - whether it is profit or loss!

The accounting of this year's profit is divided into four steps to do:

1. Carry forward income first:

Borrow: main business income.

Borrow: Other business income.

Borrow: Non-operating income.

Credit: Profit for the year.

2. Carry-forward costs, fees and taxes:

Borrow: Profit for the current year.

Credit: Cost of Principal Operations.

Credit: Principal business tax and surcharge.

Credit: Other operating expenses.

Credit: Operating expenses.

Credit: Administrative expenses.

Credit: The financial fee is used with a smile.

Credit: Non-operating expenses.

Credit: Income Tax.

3. Carry-over investment income:

Net income: borrowed: investment income.

Credit: Profit for the year.

Net loss: borrow: profit for the year.

Credit: Investment income.

Fourth, the annual carry-over profit distribution:

Net profit realized for the year after offsetting the income and expenses of the year:

Borrow: Profit for the current year.

Credit: Profit Distribution – Undistributed Profits.

If it's a loss:

Debit: Profit distribution - undistributed profits.

Credit: Profit for the year.

Four steps to accounting entries for this year's profits:

1. Carry-forward income.

Borrow: main business income.

Other business income.

Non-operating income.

Credit: Profit for the year.

2. Carry-forward costs, fees and taxes:

Borrow: Profit for the current year.

Credit: Cost of Principal Operations.

Sales tax and surcharges.

Other business costs.

Selling expenses. Management fees.

Finance Expenses. Non-operating expenses.

Income tax expense.

Supplement) borrow: profit for the current year.

Credit: Asset impairment loss.

3. Carry-over investment income:

Net income: borrowed: investment income.

Credit: Profit for the year.

Net loss: borrow: profit for the year.

Credit: Investment income.

Fourth, the annual carry-over profit distribution:

Net profit realized for the year after offsetting the income and expenses of the year:

Borrow: Profit for the current year.

Credit: Profit Distribution – Undistributed Profits.

If it's a loss:

Debit: Profit distribution - undistributed profits.

Credit: Profit for the current year[1].

The income and income are carried forward to the current year's profit debit, the expense and cost class are carried forward to the current year's profit credit such as operating income, and the investment income is in the credit side when the non-operating income is incurred, and it is necessary to close the current year's profit by borrowing the number of the above accounts.

For example, operating costs, financial expenses, and non-operating expenses are debited when they occur, and they are to be settled at the end of the period, so they should borrow the number of the above accounts and borrow the profit of the current year.

The balance of the profit borrowing and debiting for the end of the year is carried forward to the profit distribution account.

1. Borrow: -20 profit for the year

Credit: Financial expenses -20 (because financial expenses are a bit special, there is interest income, and expense accounts should be expressed on the credit side when carrying forward, so they should be done as negative numbers, especially in financial software, or sometimes it will lead to system disorders).

Accounting for the current year's profits.

1. This account accounts for the net profit (or net loss) realized by the enterprise in the current period.

2. When the profit is carried forward at the end of the period (month), the amount of each profit and loss account shall be transferred to this account and the profit and loss account shall be settled. The credit balance of the subject after the carry-forward is the net profit realized in the current period; The debit balance is the net loss incurred in the current period.

3. At the end of the year, the net profit realized in the current year after the income and expenditure of the current year are offset shall be transferred to the "profit distribution" account, debited to this account, and credited to the "profit distribution - undistributed profits" account; For example, make the opposite accounting entry for the net loss. There should be no balance in this account after the carryover. The balance of the profit account for the current year represents the net profit or net loss accumulated during the year, and the account is usually not carried forward, but is transferred to the profit distribution account at the end of the year at one time to the undistributed profit account, debit:

Profit for the year, credit: profit distribution - undistributed profit. In the case of a loss, a reverse entry is made.

At the end of the year, only the undistributed profits have a balance in each sub-ledger of profit distribution, and the other sub-accounts need to be flattened and borrowed: profit distribution - undistributed profits, credit; Profit distribution — Withdrawal of surplus reserves, distribution of profits to investors, etc. At this point, all carry-over entries can be drawn to a successful conclusion.

this paragraph].

Accounting entries for the current year's profits are done in four steps:

1. Carry forward income first:

Borrow: main business income.

Borrow: Other business income.

Borrow: Non-operating income.

Credit: Profit for the year.

2. Carry-forward costs, fees and taxes:

Borrow: Profit for the current year.

Credit: Cost of Principal Operations.

Credit: Business tax and surcharge.

Credit: Other operating expenses.

Credit: Operating expenses.

Credit: Administrative expenses.

Credit: Finance Expense.

Credit: Non-operating expenses.

Credit: Income Tax.

3. Carry-over investment income:

Net income: borrowed: investment income.

Credit: Profit for the year.

Net loss: borrow: profit for the year.

Credit: Investment income.

Fourth, the annual carry-over profit distribution:

Net profit realized for the year after offsetting the income and expenses of the year:

Borrow: Profit for the current year.

Credit: Profit Distribution – Undistributed Profits.

If it's a loss:

Debit: Profit distribution - undistributed profits.

Credit: Profit for the year.

The finance expense account needs to be carried forward at the end of the month, so it is best not to have a credit balance.

Debit: 30, credit: 50, that is, debit 30 and debit -50, that is, the amount of financial expenses incurred this month is debit: 30-50 = -20, and the result is that the financial expenses are entered when the profit of the current year is made:

Borrow: -20 profit for the year

Credit: Finance Charge -20

Debit 30 is generally paid to the bank's handling fee, credit 50 is the bank's interest, and the balance of the financial fee is credit 20, and the profit is directly carried forward, and the profit increases.

It is enough to carry forward the negative credit of the current year's profit.

Borrow: Profit for the year -20 Credit: Financial expenses -20

Debit: Finance Fee 50

Credit: Finance Charge 30

Profit for the year 20

The finance charge credit balance is:

When carrying forward the profit for the current year.

Borrow: Profit for the current year.

Credit: Finance Expense.

In this way, the account summary table should be flat.

It is the opposite when the debit side has a balance.

Borrow: Finance Expenses.

Credit: Profit for the year.

Financial expenses are profit and loss accounts, and all amounts incurred should be debited, and if they are credited, they should be indicated in red on the debit side.

If you have made a credit, then when you make a T-book, it should be debited, and the credit should be indicated in red on the debit side. So you try again.

If the loan is not even, find fault with the voucher to see if the voucher is wrong.

Generally:

Borrow: Bank deposit.

Borrow: Finance Expenses.

Carry-forward is: Debit: Finance Expenses.

Credit: Profit for the year.

Actually, it's the same.

The profit of the year refers to the net profit (or net loss) of an enterprise in a certain fiscal year, which is calculated and determined by the composition of the company's profit, and is a dynamic indicator formed by the gradual accumulation of the enterprise from January to December of the calendar year. The profit for the year is a summary account. The income realized by the credit registered enterprise in the current period, including main business income, other business income, investment income, "subsidy income", non-operating income, etc.; The expenses and expenses incurred by the debit registered enterprise in the current period include the cost of main business, taxes and surcharges on main business, other business expenses, operating expenses, management expenses, financial expenses, investment income (net loss), non-operating expenses, income tax, etc.

After the amount incurred by the borrower is offset, if it is a credit balance, it means the net profit realized by the company's operating activities in the current period, and if it is a debit balance, it means the loss incurred by the enterprise in the current period.

At the end of the year, the net profit realized in the current year after the income and expenditure of the current year are offset shall be transferred to the "Profit Distribution" account, debited to this account, and credited to the "Profit Distribution - Undistributed Profit" account; For example, make the opposite accounting entry for the net loss. There should be no balance in this account after the carryover.

This year's profit is on the credit side, which means that your company has not carried forward the current year's profit, and this account should be closed at the end of the year, that is, there can be no debit balance, and there can be no credit balance! If there is a balance, the accountant has made a mistake.

Profit distribution - undistributed profit.