The relationship between the undistributed income asset statement and the income statement

Income statementTotal profit stated in : year-end, after deducting income taxNet profit, to be transferred to the profit distribution account (as well as losses), the undistributed balance is accumulatedUndistributed profits。Their relationship:

The income statement is like a reservoir, and the undistributed profits are the dividends to be distributed.

Introduction to Income Statement:An income statement is a financial statement that reflects the operating results of an enterprise in a certain accounting period.

At present, there are two types of profit ** types commonly used in the world: single-step and multi-step.

The single-step method is to add up the total income of the current period, and then add the total amount of all expenses to calculate the current income at one time, which is characterized by the fact that the information provided is raw data and easy to understand; Multi-step is a way to calculate the net profit of various profits in multiple steps, which is convenient for users to compare and analyze the operation and profitability of the enterprise.

The income statement is a statement that reflects the operating results of an enterprise in a certain accounting period. Because it reflects the situation of a certain period, it is also called a dynamic report. Sometimes, the income statement is also called the income statement, income statement.

Normal situation:

The undistributed profit in the first year is transferred to the Profit Distribution - Undistributed Profit account in the second year.

The number of undistributed profits in the balance sheet = the balance of profit for the current year + the balance of undistributed profits (the balance is negative on the debit side).

The net profit in the income statement is shown in the account as the balance of the current year's profit (negative debit).

According to this relationship, the number of undistributed profits on your balance sheet = current year profit balance + profit distribution - undistributed profit balance.

Now your balance sheet undistributed profit is.

Indicates that the undistributed profit was debited in the following year.

However, the account of undistributed profit in the second year cannot be changed for any other reason than the profit and loss adjustment of the previous year.

So if the calculation is correct, you have the debit balance of the previous year's profit and loss adjustment account transferred to the undistributed profit debit.

Balance sheet.

The undistributed profit in is not equal to the income statement.

profits. The "Undistributed Profit" item in the balance sheet reflects the accumulated undistributed profit or loss over the years, and should be calculated and filled in based on the balance of the "Profit for the Year" account and the "Profit Distribution" account. "Net profit" in the income statement.

The item reflects the net profit (or net loss) realized by the enterprise for the current period.

Extended Materials. 1. Undistributed profits: Undistributed profits are the profits that the enterprise retains for distribution or distribution in subsequent years.

It can continue to be distributed in subsequent years and is owner's equity until the distribution is made.

components. From a quantitative point of view, the undistributed profit is the undistributed profit at the beginning of the period plus the net profit realized in the current period, minus the various surplus reserves withdrawn.

and the balance after the ceding profits.

Undistributed profit refers to the profit of the enterprise after the net profit realized by the enterprise has been retained in the enterprise after making up for the loss, withdrawing the surplus reserve and distributing the profit to investors.

Undistributed profits have two meanings: profits that are set aside for disposal in subsequent years; Profits for which a specific purpose is not specified. Relative to the rest of the owner's equity, the business has greater autonomy over the use of undistributed profits.

2. The balance of the detailed account of "undistributed profits" in the financial statements of listed companies reflects the accumulated undistributed profits or accumulated uncompensated losses of listed companies. For various reasons, such as balancing the fiscal years.

The level of return on investment, to make up for the arrears, to leave room for improvement, etc. The net profit realized by the listed company is not allowed to be fully divided, and the remaining part is reserved for distribution in the following years. In this way, the balance is accumulated year by year, and the balance is on the "undistributed profit" detail account, which reflects the accumulated undistributed profit over the years.

In the same way, the uncovered losses in the previous year are left to be made up in the following years, and the losses incurred in the following years continue to roll over, and the balance is on the detailed account of "undistributed profits", which reflects the accumulated losses over the years and is recorded as a negative number.

The net profit in the income statement and the undistributed profit in the balance sheet are not equal, only in the first year of initial accounting, the values of these two accounts are equal, and the second year should be inconsistent.

Because the net profit in the income statement is a period number, it reflects the balance under the "profit of the year" account;

The undistributed profit in the balance sheet is a point in time and reflects the balance under the account "Profit Distribution - Undistributed Profit". In the accounting period, the value should be equal to the sum of the balances of the Profit Distribution - Undistributed Profit account plus the balances of the Profit this year. At the end of the accounting period (year-end), you need to carry forward the balance of the current year's profit account to Profit Distribution - Undistributed Profit.

The value is the balance of the account after the carryover.

1. The relationship between the undistributed profit in the balance sheet and the net profit in the income statement is generally as follows:

Undistributed profit at the end of the period = net profit + undistributed profit at the beginning of the period.

2. Accounting of undistributed profit accounts:

1. The accounting of undistributed profits is carried out through the account of "Profit Distribution - Undistributed Profits".

2. The accounting of undistributed profits is generally carried out at the end of the year, and at the end of the year, the net profit realized in the current year is carried forward to the credit of the "profit distribution - undistributed profits" account. At the same time, the amount of the current year's profit distribution is carried forward to the debit side of the "Profit Distribution - Undistributed Profit" account.

3. The closing balance of the credit of the "Profit Distribution - Undistributed Profit" account carried forward at the end of the year reflects the accumulated undistributed profit, and the closing balance of the debit reflects the accumulated uncompensated loss.

The relationship between the undistributed profit on the balance sheet and the net profit on the income statement is as follows:

Undistributed profit at the beginning of the period.

Net profit realized for the period.

Withdrawal of surplus reserves.

Distribution to shareholders.

Surplus reserves cover losses.

Therefore, the undistributed profit at the end of the balance sheet period must be consistent with the net profit of the income statement for the current period to be consistent with the balance sheet

1) There is no undistributed profit at the beginning of the period.

2) There are no uncovered losses.

3) Excess reserves have not been withdrawn.

4) Failure to distribute dividends to shareholders.

Not necessarily. The undistributed profit in the balance sheet can be understood as the cumulative calculation of the enterprise after deducting the distributed profit, while the net profit in the income statement indicates the operating profit of the enterprise in a certain period.

Since the undistributed profits are continuously accumulated year by year, the undistributed profits of the following years are equal to the undistributed profits of the previous year plus the net profits of the current year, so they are not equal.

Relationship between net profit and undistributed profit in the income statement: The relationship between undistributed profit and net profit is not necessarily equal.

Net profit = total profit - corporate income tax, i.e. profit after tax. At the end of the year, the net profit is carried forward to the profit distribution account in its entirety, and then the profit distribution and undistributed profit are also distributed.

First of all, 10% of the statutory surplus reserve is withdrawn, 5% of the statutory community chest is withdrawn, and profits and dividends are distributed to investors. So. When the undistributed profit is not distributed by Zhixing, the net profit is equal to the profit distribution; When the profit distribution is made in the above distribution, the net profit is not equal to the profit distribution.

The relationship between the undistributed profit in the balance sheet and the net profit in the income statement A: In the balance sheet"Undistributed profits"The item reflects the amount of profit that has not yet been distributed at the end of the period. While:

Undistributed profit at the end of the period = Undistributed profit at the beginning of the period + Net profit realized in the current period - Profit distributed in the current period (including the withdrawal of various surplus reserves, dividends and dividends, and the conversion of profits into capital, etc.).

Therefore, the undistributed profit at the end of the period in the balance sheet cannot be directly reconciled with the net profit for the period in the income statement, but it should be reconciled with the undistributed profit at the end of the period in the profit distribution statement.

For enterprises with no profit distribution business in the current period, the difference between the undistributed profits at the end of the middle and beginning of the balance sheet is consistent with the net profit of the current period in the income statement; At the same time, if the undistributed profit at the beginning of the period is zero (such as a new enterprise in the current period), then the undistributed profit at the end of the balance sheet can be consistent with the net profit of the current period in the income statement.

Therefore, in order to be consistent with the net profit of the current period of the income statement, the undistributed profit at the end of the balance sheet must meet two conditions: there is no undistributed profit at the beginning of the period, and there is no uncovered loss.

During the period, no profit distribution business was carried out, including the withdrawal of various surplus reserves, the distribution of dividends and dividends to shareholders, and the conversion of profits into capital. It can be seen that under normal circumstances, including new enterprises, it is rare to meet the above two conditions at the same time, so it is rare for the undistributed profit at the end of the period in the balance sheet to be consistent with the net profit for the current period in the income statement.

Income statementnet profit and balance sheet.

undistributed profits.

No, in general, there is no equality relationship.

1. The "undistributed profit" item in the balance sheet reflects the accumulated undistributed profit or loss over the years, and this item should be calculated and filled in according to the balance of the "current year's profit" account and the "profit distribution" account.

2. The "net profit" item in the income statement reflects the net profit (or net loss) realized by the enterprise in the current period.

Net Profit = Total Profit - Income Tax Expense.

3. The collusion relationship between the "undistributed profit" item of the balance sheet and the "net profit" item of the income statement:

Undistributed profit at the end of the balance sheet period = undistributed profit from negative balance sheet at the beginning of the year + accumulated net profit from the income statement for the current period - Withdrawal of surplus reserve.

Distribution of dividends + surplus reserve to cover losses + (or) current year adjustment of prior years' profit or loss from the "prior year profit and loss adjustment" account to the amount of "undistributed profits".

1. The undistributed profit in the balance sheet and the net profit in the income statement are two different concepts. It can be said that the net profit on the income statement funds the profit distribution**. Therefore, at the end of the accounting period, the net profit (total profit net of income tax) of the enterprise shall be accounted for as follows:

Borrow: Profit for the current year.

Credit: Profit Distribution - Undistributed Profits.

2. The undistributed profit on the balance sheet is the balance after the distribution of net profit.

Undistributed profit on the balance sheet = undistributed profit at the beginning of the period + (net profit for the period - surplus reserve distributed - profit distributed to investors).

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1. The "undistributed profit" item in the balance sheet reflects the accumulated undistributed profit or loss over the years, and this item should be calculated and filled in according to the balance of the "current year's profit" account and the "profit distribution" account.

Net Profit = Total Profit - Income Tax Expense.

3. The collusion relationship between the "undistributed profit" item of the balance sheet and the "net profit" item of the income statement:

Undistributed profit at the end of the balance sheet period = undistributed profit from negative balance sheet at the beginning of the year + accumulated net profit from the income statement for the current period - Withdrawal of surplus reserve - Distribution of dividends + Excess reserve to cover losses + (or) The amount of profit or loss from previous years to "Undistributed Profit" from the "Profit and Loss Adjustment for Previous Years" account.

The relationship between the undistributed profit of the balance sheet and the net profit of the income statement

Undistributed profit at the end of the balance sheet period = undistributed profit from negative balance sheet at the beginning of the year + accumulated net profit from the income statement for the current period - Withdrawal of surplus reserve - Distribution of dividends + Surplus reserve to cover losses + (or -) Adjustment for the current year.

The amount by which the profit or loss of the prior year is transferred from the Profit and Loss Adjustment for Previous Years account to the Undistributed Profit.

For example, profit and loss adjustments (profit reductions) for previous years have an impact on undistributed profits.

1) Adjusted income tax loan: tax payable - income tax payable credit: profit and loss adjustment for previous years.

2) Transfer the balance of the "Profit and Loss Adjustment for Previous Years" account to the "Profit Distribution - Undistributed Profit" account.

Debit: Profit distribution - undistributed profits.

Credit: Prior Year Profit and Loss Adjustment.

3) Adjust the surplus reserve.

Borrow: surplus reserve.

Credit: Profit Distribution - Undistributed Profits.

The relationship between undistributed profit and net profit is: undistributed profit at the end of the period = undistributed profit at the beginning of the period + net profit realized in the current period - profit distributed in the current period. Undistributed profit is the profit that the business retains for distribution or to be distributed in subsequent years.

It can continue to be distributed in subsequent years and is part of the owner's equity until the distribution is made. The "undistributed profits" item in the balance sheet reflects the amount of undistributed profits at the end of the period.

If the enterprise is a new enterprise, the net profit and undistributed profit are generally divided into the following two situations:

1. The relationship between the undistributed profit of the balance sheet and the net profit of the income statement: the profit distributed at the end of the balance sheet period = the accumulated net profit of the current income statement - the withdrawal of surplus reserve - the distribution of dividends;

2. If the enterprise has been established for more than one year, it is the collusion relationship between the undistributed profit of the balance sheet and the net profit of the income statement: undistributed profit at the end of the balance sheet = undistributed profit of the negative balance sheet at the beginning of the year + accumulated net profit of the current income statement - withdrawal of surplus reserve - distribution of dividends + surplus reserve to make up for losses + (or -) the amount of profit and loss of previous years adjusted in the current year from the "profit and loss adjustment of previous years" account to "undistributed profit".

Net profit refers to the total profit of the enterprise in the current period minus the amount of income tax, that is, the after-tax profit of the enterprise. Income tax refers to the tax calculated and paid to the state by the enterprise on the total amount of profits realized in accordance with the standards stipulated in the income tax law. It is a deduction item from the total profit of the enterprise.

The company's profit retention after paying income tax in accordance with the provisions of the total profit is also known as after-tax profit or net profit. The amount of net profit depends on two factors, one is the total profit, and the other is the income tax expense.

The final result of an enterprise's operation, the net profit is more, and the operating efficiency of the enterprise is good; If the net profit is less, the operating efficiency of the enterprise is poor, and it is the main indicator to measure the operating efficiency of an enterprise. , which is the ratio of net cash flow from operating activities to net profit. The net profit provided in the income statement is recognized on the premise of accrual accounting, matching principle, historical cost principle and currency value.

Due to the accuracy of judgment and estimates, coupled with inflation and the existence of capital expenditure, inventory turnover and business credit in a certain accounting period, there is a difference between net profit and cash flow, and this difference forms different levels of "net income quality".