Sogou s core business has been challenged, how did it achieve turning losses into profits ?

Operating costs refer to the costs incurred by enterprises in regular activities such as selling goods and providing labor services. Generally, when an enterprise recognizes the income from its main business such as the sale of goods and the provision of services, or at the end of the month, the cost of the goods sold and the services provided is transferred to the cost of the main business.

Enterprises should set up a "cost of main business" account, which shall be used to calculate the actual costs incurred by the enterprise due to the daily activities such as selling goods, providing labor services or transferring the right to use assets, etc., and debit this account and credit the accounts such as "inventory goods" and "labor costs". At the end of the period, the balance of the cost of main business is transferred to the "Profit of the Year" account, the "Profit of the Year" is debited, the account is credited, and after the carryover, there is no balance of the "Cost of Principal Business" account.

The growth rate of main business income is the ratio of the difference between the main business income of the current period and the main business income of the previous period and the main business income of the previous period. It is expressed by the formula: the growth rate of main business income = (main business income of the current period and main business income of the previous period) The main business income of the previous period * 100%.

The growth rate can be used to measure the product life cycle of a company and determine the stage of development of the company. Generally speaking, if the growth rate of main business income exceeds 10%, it means that the company's products are in the growth period and will continue to maintain a good growth momentum, and it has not yet faced the risk of product updates, which is a growth company.

If the growth rate of main business income is between 5% and 10%, it means that the company's products have entered a stable period and will soon enter a recession period, and it is necessary to start developing new products. If the ratio is less than 5%, it means that the company's products have entered a period of recession, it is difficult to maintain market share, and the profit of the main business has begun to decline.

Detailed accounting is carried out according to the type of main business, which is used to calculate the actual cost incurred by the enterprise due to daily activities such as selling goods, providing labor services or transferring the right to use assets, and debits the account and credits the accounts such as "inventory goods" and "labor costs". At the end of the period, the balance of the cost of main business is transferred to the "Profit of the Year" account, the "Profit of the Year" is debited, the account is credited, and after the carryover, there is no balance of the "Cost of Principal Business" account.

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If the growth rate of main business income exceeds 10%, it means that the company's products are in the growth period and will continue to maintain a good growth momentum.

Turn losses into profits by changing your strategy.

Change the direction to change the losing situation.

Detailed accounting is carried out according to the type of main business, which is used to account for the sale of goods by the enterprise.

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It shows that the company's products are in the growth period and will continue to maintain a good growth momentum.