What is a Book Profit?
Book profit refers to the profit reflected on the book so far, that is, the total profit in the income statement.
Book profit
Right!
- Chinese name
- Book profit
- Nature
- Profits reflected on the books
- Explanation
- Total profit in the income statement
- Field
- economic
- Book profit refers to the profit reflected on the book so far, that is, the total profit in the income statement.
- Book profit and actual profit
- Actual profit refers to the residual value of the investment recovery amount after deducting the purchasing power of the original investment. That is, the actual profit shall refer to the profit actually realized in the current period after deducting all expenses.
- Actual profit is the prerequisite for real profit and capital accumulation. The book profit may be equal to the actual profit in the future, or it may be greater than the actual profit. But it is more likely that: some of the expenses that should be deducted have not been deducted; some of the expenses that should be withdrawn have not been withdrawn, and some taxes that should be paid have not been paid. At this time, the manifested profit is greater than the actual profit.