What Is Annual Profit?
The total annual profit is the surplus of a company's operating income after deducting costs and sales taxes, which is what people usually call profit.
Total annual profit
Right!
- Chinese name
- Total annual profit
- Foreign name
- The total annual profit
- Nature
- profit
- Time
- year
- The total annual profit is the surplus of a company's operating income after deducting costs and sales taxes, which is what people usually call profit.
- The total annual profit, its relationship with the annual operating income is:
- Annual operating profit = annual operating income-annual
- Total profit is a very important economic approval criterion for measuring the operating performance of an enterprise. From the perspective of summary income, total profit is an external income and expenditure item and prior period adjustment item; but in the income statement, many countries still calculate the profit generated during the current period (normally before the calculation of total profit (or accounting income)) (normal Profit) and other profit and loss (abnormal profits) are listed separately. The so-called normal profit refers to the profits generated and realized by the production and operation activities of the enterprise, including the profits realized by the enterprise engaged in production, sales, and investment notification activities, and the normal profits of operating profit and investment income. The abnormal profit is the profit and loss caused by matters unrelated to the company's production and operation activities, including the losses caused by natural disasters, penalties and late payment expenses, and other items that have nothing to do with business activities. The previous adjustment of China's regulations are also included in the abnormal profit . As normal profits and operating activities are generated, they can be controlled by the enterprise management department, and abnormal profits are not controllable; therefore, dividing profit into normal profit and abnormal profit (that is, separately listed in the income statement) Management efficiency is more objective and accurate.