What Are Covered Earnings?

The income of contracted projects refers to the income that the enterprise obtains from the owner (the contracting unit) of the project price settlement in the contracted project in accordance with the contract. In order to calculate this kind of income, the subject of "operating income --- contracted project income" should be set up, and the borrower should register the income from the price of each settled contracted project. Revenue from construction projects. When income occurs, debit "bank deposits", "bills receivable", "accounts receivable" and other subjects, and credit "business income-contracted project income" subjects. At the end of the year, the balance of the subject should be transferred to "profits and projects of the year". After the carry-over, there is no balance in the subject. A detailed account shall be set up for the subject according to the contract for detailed accounting. ^[1]