Preparation of income statement

Clarify the current business concept and the concept of summarization. The concept of current operation reflects that only the usual income and expenses related to current operation should be included in the income statement. The concept of "omnibus" holds that, except for the capital gains from dividend distribution, all economic businesses that affect the changes of owners' equity should be reflected in the income statement in a general way. In view of the contradiction between the two concepts, the report preparer should start from the enterprise's own management and combine the information requirements of external users to find the best combination point between them.

the items in the income statement are divided into two parts according to the profit composition and distribution. The profit component first lists the sales income, and then subtracts the sales cost to get the sales profit; After deducting various expenses, the operating profit (or loss) is obtained; After adding and subtracting non-operating income and expenditure, it is the total profit (loss). In the profit distribution part, the after-tax profit is obtained by subtracting the income tax payable from the total profit; Under it are the provident fund and profits payable extracted according to the distribution plan; If there is a balance, it is undistributed profit. If the profit distribution part in the income statement is listed separately, it is a "profit distribution table".

(1) the core formula of the income statement: profit = income-cost

1. The contents of income include:

(1) main business income: main business income refers to the basic income generated by the regular and main business of the enterprise, such as the sales products of the manufacturing industry; Income from sales of commodities by commodity circulation enterprises; Ticket income, customer income, catering income, etc. of tourism service industry;

(2) Other business income: Other business income refers to the inflow of economic benefits from daily activities such as selling goods, providing labor services and transferring the right to use assets, other than the main business income of the enterprise. Such as sales of materials, materials and packaging materials, transfer of intangible assets, rental of fixed assets, rental of packaging materials, transportation, sales of waste materials, etc.;

Other business income is characterized by infrequent occurrence, small amount of each business and low proportion of income.

(3) Investment income: refers to the net income obtained from foreign investment, such as profits, dividends and bond interest, after deducting investment losses. Including investment income from joint ventures and joint ventures;

(4) Non-operating income: Non-operating income refers to various incomes that are not directly related to the production and business activities of enterprises. It is not produced by the cost of operating funds of enterprises, and it does not need to be paid by enterprises. In fact, it is a kind of net income, and it is impossible and unnecessary to match with relevant expenses. Non-operating income mainly includes: gains from disposal of non-current assets, gains from exchange of non-monetary assets, gains from debt restructuring, government subsidies, and gains from disk profits.

2. The contents of costs and expenses include:

(1) Product cost: refers to all kinds of expenses incurred by enterprises for producing products. Product cost can be divided into narrow sense and broad sense. The narrow sense of product cost refers to all kinds of expenses paid by enterprises for production and management in production units (workshops and branch factories), mainly including raw materials, fuel and power, production workers' capital and various manufacturing expenses. In a broad sense, the product cost includes all kinds of management and sales expenses incurred in production;

(2) Period expenses: refers to the expenses incurred by the enterprise in the current period that cannot be directly or indirectly classified as operating costs, but are directly included in the current profit and loss. Including sales expenses, management expenses and financial expenses;

(3) Other business expenses: this account accounts for the expenses incurred by enterprises in other sales or other businesses except the main business costs, including related costs incurred in selling materials and providing labor services, as well as related taxes and surcharges;

(4) Non-operating expenses: Non-operating expenses refer to expenses that do not belong to the production and operation expenses of an enterprise, but are not directly related to the production and operation activities of the enterprise, but should be deducted from the total profits realized by the enterprise, including the net loss of fixed assets due to inventory loss, scrapping, damage and sale, shutdown loss during non-seasonal and non-repair periods, school funds for employees' children and technical schools, extraordinary losses, charitable donations, compensation, liquidated damages, etc.

(5) product sales taxes and surcharges: product sales taxes and surcharges refer to sales taxes and educational surcharges that should be borne by selling products and providing industrial services, including business tax, consumption tax, urban maintenance and construction tax, resource tax and educational surcharges.

(2) Contents and methods of filling in the figures in the table:

1. The items of product sales income should be filled in according to the analysis of the amount of "product sales income" account;

2. The item of product sales cost should be filled in according to the amount of "product sales cost" account;

3. The items of product sales expenses should be filled in according to the amount of "product sales expenses" account;

4. Additional items of product sales tax should be filled in according to the amount of "product sales tax and surcharges" account;

5. Other business profit items should be filled in according to the amount of "other business income" and "other business expenditure" accounts;

6. The items of management expenses and financial expenses shall be filled out according to the amount of the accounts of "management expenses" and "financial expenses";

7. investment income items should be filled in according to the amount of "investment income" account;

8. Non-operating income items and non-operating expenditure items should be filled out according to the analysis of "non-operating income" and "non-operating expenditure" accounts respectively;

9. Items such as product sales profit, operating profit and total profit can be calculated and filled in the table;

11. the profit and loss adjustment items of previous years shall be filled in according to the account of "profit and loss adjustment of previous years".