What is the principle of proportionality in accounting?

The income and the costs and expenses associated with it in an accounting period should be recognized in that accounting period and should be matched to each other for the purpose of calculating profit or loss for the current period.

In accounting practice, there are two ways to match income to expenses. The first is to make a direct ratio according to the logical causal relationship between income and expenses, such as the ratio of main business income to direct costs; Second, according to the consistent relationship between income and expense items, certain expense items that have no obvious causal relationship with a specific income item, such as advertising expenses, office expenses, management salaries, and other period expenses, are matched with the income that occurs at the same time; The principle of matching requires that in accounting, the costs and expenses related to each income in an accounting period should be recognized, measured and recorded in a unified accounting period, rather than in advance or delayed, otherwise it will cause false and false operating results. The costs and expenses of all advances shall be deferred until the relevant income is obtained; All future expenses related to income in the current period should be provided for in the current period to achieve the purpose of matching.

For example, the revenue from the sale of goods in March is 1 million, and the cost of goods is 600,000. At the same time as the revenue of 1 million yuan is recognized in March, the cost of sales of 600,000 yuan must be carried forward, and the cost cannot be carried forward until the next month or later.

1. According to the latest accounting standards for business enterprises, the principle of matching means that the income obtained in a certain accounting period or an accounting object should be matched with the expenses and costs incurred to obtain the income, so as to correctly calculate the net profit or loss obtained by the accounting entity in the accounting period.

2. The basis of the matching principle is the principle of benefit, that is, who benefits, who bears the cost. There are two main ways to match income and expenses: one is to directly match according to the causal relationship between income and expenses; The second is to make an indirect ratio according to the consistent relationship between income and expense items.

Therefore, the matching principle has three implications:

1) The revenue of a product must match the cost of the product;

2) the income of an accounting period must match the expenditure of the period;

3) The income of a department must match the expenditure of the department.

The matching principle is one of the accounting principles, also known as the matching principle.

1) Proportionality of the scope of expenditure. The various expenditures incurred by the enterprise on a daily basis should be matched and compensated according to their nature and use with their corresponding funds**, and the operating results should be determined by comparing the expenditure with the income. For example, expenses related to the sale of a product should be compensated from the proceeds from the sale of the product; Non-operating expenses unrelated to the production and sale of products.

Special project expenditures, etc., should be compensated from profits and various special projects.

2) Proportion of expenditure time. A certain accounting period.

If the expenses incurred should be attributable to the cost of the product in the current period, they should be included in the cost of production and sales in the current period.

among them; If it is an expense that should not be attributable to the current product, it cannot be included in the current cost even if it has been incurred or paid; If there are expenses that have not yet been incurred or paid, but should be included in the current product cost, they should also be borne by the current cost.

According to this, the principle of proportioning has three implications.

1) The revenue of a product must match the cost of the product;

2) the income of an accounting period must match the expenditure of the period;

3) The income of a department must match the expenditure of the department.

The matching principle is that the income obtained in a certain accounting period or an accounting object should be matched with the expenses and costs incurred to obtain the income, so as to correctly calculate the net profit or loss obtained by the accounting entity in the accounting period.

The matching principle is one of the accounting principles, also known as the matching principle.

The principle of proportioning has three implications:

1) The revenue of a product must match the cost of the product;

2) the income of an accounting period must match the expenditure of the period;

3) The income of a department must match the expenditure of the department.

The matching principle is used as a requirement for the recognition of accounting elements and is used for profit determination. The economic activities of the accounting entity will bring a certain amount of income, and it will inevitably incur corresponding expenses. There must be expenses for what you get, and what you pay is for what you get, and the two are opposites, and profit is the result of comparing what you get.

The basis of the matching principle is the principle of benefit, that is, who benefits, who bears the cost.

The principle of benefit recognizes that there is a causal relationship between gains and losses, but not all expenses have a causal relationship with income, and it is necessary to distinguish between direct costs that have a causal connection and indirect costs that are not directly related according to the principle of proportionality.

The matching principle means that the income obtained in a certain accounting period or an accounting object should be matched with the expenses and costs incurred to obtain the income, so as to correctly calculate the net profit or loss obtained by the accounting entity in the accounting period.

Specific principles of tax accounting include:

1. Revised accrual system.

Principle; 2. The principle of consistency with the daily accounting methods of financial accounting;

3. The principle of dividing operating income and capital gain;

4. The principle of proportioning.

1. Revised accrual principle. Cash basis.

Also known as the cash system.

It prominently reflects the principle of cash flow, an important principle of tax accounting. The principle is to ensure that the taxpayer has the ability to pay the tax payable so that the taxpayer can obtain fiscal revenue.

The foundation. However, since the cash basis does not comply with financial accounting standards.

Generally speaking, it only applies to the tax declaration of individuals and small and medium-sized enterprises that are not engaged in the purchase and sale of goods. The accrual principle is currently accepted by the tax authorities of most countries.

2. The principle of consistency with the daily accounting methods of financial accounting; Due to the close relationship between tax accounting and financial accounting, tax accounting should generally follow various financial accounting standards. Only when a certain event is recognized in accordance with the accounting standards and systems on the financial accounting reporting date can the tax payable recognized in accordance with the provisions of the tax law be recognized, which is the principle of "consistent with daily accounting methods".

3. The principle of dividing operating income and capital gain; These two types of income have different ** and bear different tax responsibilities, and should be strictly distinguished in tax accounting. Operating income refers to the income obtained by an enterprise through its regular main business activities, including the main business income.

and other business income, the tax amount is generally levied at the normal tax rate.

4. The principle of communication and communication. The principle of proportionality is the general norm of financial accounting. Applying it to income tax accounting has become an important guiding ideology to support the "intertemporal apportionment of income tax".

The view that income tax is treated as an expense means that accrual accounting is appropriate for expenses if income tax meets both the criteria of recognition and measurement.

5. The principle of certainty. The principle of certainty refers to the fact that in the accounting process of income tax, according to the provisions of the income tax law, there should be certainty in the actual realization of tax income and expenses, and this principle is embodied in the treatment of the deferred method. Under the deferred method, the original income tax rate is verifiable, and the deferred income tax is the result of historical transactions that produce temporary differences.

6. The principle of predictability. The principle of predictability is the principle that supports and regulates the "law of obligations". The Law of Obligations on deferred tax assets.

or the recognition model of deferred tax liabilities, which is based on the premise that the balance sheet is prepared in accordance with accounting standards.

The reported amounts of assets and liabilities will be recovered or liquidated, respectively. Therefore, taxable income for future years is only recognized to the extent of the reversal difference.

7. The principle of tax payment ability. The ability to pay taxes is not the same as the ability to pay taxes. Tax-paying capacity refers to the fact that a taxpayer should determine its tax base according to a reasonable standard.

Taxpayers with the same tax base shall bear the same tax for the same tax. Therefore, the ability to pay taxes reflects the principle of reasonable taxation.

The principle of proportioning beam leakage is explained as follows:

The principle of matching refers to the fact that when an enterprise imitates the matching industry in accounting, its income and its costs and expenses should be matched with each other, and the costs and expenses related to the income of various revenues in the same accounting period should be recognized within the accounting period.

Adhering to the principle of proportionality in accounting has two meanings: the first meaning is causal proportioning, which matches the income with its corresponding cost, such as the matching ratio of the main business income with the main business cost; The second meaning is the period ratio, which matches the income of a certain period with the expenses of the same period, such as the income of the current period and the period expenses such as management expenses and financial expenses.

Benefits of Studying Accounting:

1. There is a lot of room for development. As long as you work hard, it is entirely possible to develop to a very high level. The monthly salary of a general accountant is about 1,000, but the salary of a financial director can reach tens of thousands or even hundreds of thousands. The key is to look at individual ability.

2. Stable work. Because finance is the company's trade secret, any unit wants less changes in accounting personnel, so under normal circumstances, the boss will not fire the accountant.

3. Easy work. Most of the time sit in the office and don't get out of the sun. Don't do manual work, just use your brain, move the keyboard, now the computer does accounts and even manual accounts are saved, easier.

Basically, you don't have to work overtime, and if you only do financial work, you can go home after work to take care of your family.

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The principle of matching means that the income of a certain period and its related costs and expenses should be matched with each other. It requires that the costs and expenses associated with each income in an accounting period should be recognized and measured in the same accounting period. The implementation of the matching principle is conducive to correctly reflecting the financial results of the enterprise and correctly calculating the profit and loss for the current period.

The accrual principle refers to the method used in accounting to determine the income and expenses for the current period. That is, all income belonging to the current period, regardless of whether the payment is received or not, is treated as current income; Income that is not part of the current period, even if received in the current period is treated only as advance receipts and not as current income.

All expenses incurred in the current period, whether or not they are expended, are treated as current expenses; It is not an expense of the current period, and even if it is an expense of the current period, it cannot be included in the expenses of the current period.

The scope of implementation of the accrual principle.

The accrual principle can be found everywhere in the accounting treatment of enterprises. If a batch of products are sold in the current period, the ending payment has not yet been received, but it should be treated as the operating income of the current period in accounting treatment.

In order to implement the accrual basis, the accounting system has also set up special accounts for "accrued expenses", "expenses to be amortized" and "deferred expenses" to account for certain expenses incurred but not yet incurred in the current period and expenses incurred but not yet incurred in the current period. The accrual basis of the bridge is relative to the cash basis.

In accordance with China's current "General Principles of Enterprise Finance" and the industry financial system, in the financial accounting of state-owned commercial banks, most of the revenue and expenditure items have implemented the accrual system, mainly including the following aspects:

1. Loan interest income within half a year overdue;

2. Current income of financial institutions;

3. Investment income;

4. Interest expense on fixed deposits;

5. Current expenditures of financial jujube institutions;

6. Bulk expenses such as fixed asset repair, leasing, purchase of low-value consumables, and security defense;

7. Amortization of intangible assets;

8. Depreciation of fixed assets;

9. All kinds of taxes.

Encyclopedia - Matching Principle.

Encyclopedia - Accrual principle.