Correction of prior period errors can not disclose the balance sheet at the beginning of the compara

Correction of errors in the early stageEvents after the balance sheet dateThe difference:

1. Accounting errors in the reporting year that occur in the following period and errors in the prior period that are not material before the reporting year shall be treated as future events.

Retrospective restatement shall be used for material accounting errors that occurred prior to the reporting year in the future event period in accordance with the principle of error correction.

Prior period errors found during the period after the non-balance sheet date are treated in accordance with the principle of prior period errors.

2. The difference between future events and error corrections

The beginning of the reporting year is not adjusted for future events, and the beginning of the reporting year is adjusted for error correction.

When the error is corrected retrospectively, the balance sheet adjusts the beginning of the year and the income statement.

Adjust the number of years. 3. Profit and loss accounts are involved.

The adjustment is replaced by "profit and loss adjustment for previous years", and finally the balance of the account is transferred to the profit distribution - undistributed profit.

At the same time, the surplus reserve is adjusted.

Assets and liabilities:

In the early days of the founding of the People's Republic of China, the balance sheet was used, and later the "balance sheet" was used. However, in order to conduct business transactions with foreign banks and reconcile accounts, Bank of China still uses this statement, which is divided into two parts: assets, liabilities and net worth. The assets mainly include cash, various loans, deposits with foreign peers, investments, real estate, appliances and equipment, etc.; The liabilities and net worth segment mainly include deposits and share capital.

Provident fund and net profit, etc.

The fund balance sheet is divided into two parties: the use of funds and the use of funds, and there are a number of projects in each. The left side of each item for the use of funds reflects the distribution, use and existence of funds; Funds** Each item is listed on the right, reflecting the status of the acquisition or formation of funds.

There are indeed similarities between the two:

1.are adjustments to events from previous periods;

2.The treatment method is retrospectively restated.

2.The former generally does not have to judge the degree of importance, while the latter adjusts the previous important matters;

3.In addition, events after the balance sheet date include non-adjusting events.

Balance sheet dateIn the later period, if it is found that it belongs to the (previous) error of the reporting year, how to adjust it?

Answer: During the period after the balance sheet date, if it is found that it is an error in the reporting year (before) and affects the profit item in the reporting period, it is necessary to pass the "profit and loss adjustment of the previous year" in accordance with the "Accounting Standard for Business Enterprises No. 29 - Events after the Balance Sheet Date".

Adjustments are made, and the final settlement of enterprise income tax is made.

If it has not yet been completed, the enterprise income tax payable shall be adjusted at the same time.

During the balance sheet date, an error was found to be an error in the reporting period (previous year).

1) Errors in the reporting year were found during the period after the balance sheet date: On March 18, 2021, it was found that depreciation of 250,000 yuan was undermentioned in 2020 (significant), and the profit and loss involved were recorded in the "profit and loss adjustment of previous years", and the ending of the balance sheet and income statement in 2020 were adjusted.

The number of years. On March 18, 1, it was found that the depreciation of 300 (250,000 depreciation) was underpaid in January 2021, regardless of whether it belongs to a future period or not, and regardless of whether the error is significant, it was found that the depreciation was made up on the same day, and the profit and loss involved were directly included in the relevant profit and loss accounts.

3) Significant errors in the period before the reporting year were found during the period after the balance sheet date: On March 18, 2021, it was found that depreciation of 250,000 yuan was undermentioned in 2019 (significant), and the profit and loss involved were recorded in the "profit and loss adjustment of previous years", and the opening number of the balance sheet in 2020 and the previous year of the income statement were adjusted.

4) Non-material errors in the period before the reporting year were found during the period after the balance sheet date: on March 18, 2021, it was found that depreciation in 2019 was underpaid by 300 (non-material), and the profit and loss involved were recorded in the "profit and loss adjustment of previous years"; and adjust the end of the balance sheet period for 2020 and the current year of the income statement.

What does a liability mean on a balance sheet?

Answer: Liabilities refer to the current obligations of an enterprise that are expected to result in the outflow of economic benefits from the enterprise due to past transactions or events. According to time, it can be divided into current liabilities and long-term liabilities.

1. Current liabilities.

Short-term liabilities, also known as current liabilities, refer to debts that will be repaid within one year (including one year) or more than one business cycle, including short-term borrowings and notes payable.

Accounts payable, accounts receivable in advance.

Payables, benefits payable, dividends payable, taxes payable, other provisional receipts and payables, withholding expenses and long-term borrowings due within one year, etc.

2. Non-current liabilities.

Long-term liabilities refer to debts with a repayment period of one year or more in one business cycle, including long-term borrowings, bonds payable, and long-term payables. Wait.

During the period after the balance sheet date, when an error is found to be in the reporting year (before), it is necessary to make adjustments and changes in accordance with the Accounting Standards for Business Enterprises No. 29 - Events after the Balance Sheet Date, through the "Profit and Loss Adjustment of Previous Years", and at the same time adjust the enterprise income tax payable that has not yet been completed in the final settlement of enterprise income tax.

During the period after the balance sheet date, if it is found that it is an error in the reporting year (before) and affects the profit items in the reporting period, it is necessary to adjust it through the "profit and loss adjustment of previous years" in accordance with the Accounting Standards for Business Enterprises No. 29 - Events after the Balance Sheet Date, and if the final settlement of enterprise income tax has not been completed, the enterprise income tax payable shall be adjusted at the same time.

The bills enjoyed in these cases should be taken out in a timely manner and sorted out, and only in this way can the situation be resolved.

Differences:

1. The future adjustment is limited to the date between the balance sheet date and the date of approval of the statement;

Upfront error correction can occur at any point in time.

2. The year of the adjustment report is different.

Adjust the items in the future, adjust the statements of the previous year;

Corrections for prior periods (not for future periods) are the current year's statements.

BAI Balance Sheet Date Events and Prior Period Differences.

The difference between the processing of the error correction and the processing of the entries is as follows:

In the future, the internal items of the DAO are divided into adjustment matters and disclosure.

Disclosure matters, adjustment matters and error correction are handled in the same way.

The error is to correct the original intentional error in accounting, and the system cannot tolerate such error, and it is stipulated that it must be corrected at the source.

Hope it can be used as a reference for you.