What Is Unrealized Gain?

Unrealized financing income refers to the portion that has not received the rent and is not guaranteed. Because it is uncertain whether it can be recovered on time, the expected return is not counted or understated in accordance with the requirements of the principle of robustness, and it is paid for more than one rent. The financing income that has not been received in the period should be stopped from recognizing financing income. The originally recognized financing income should be written back and transferred to off-balance sheet accounting. This treatment will help offset the optimism of managers and owners, and will benefit investors. And creditors evaluate risk more favorably. However, all relevant expenditures that will bring future economic benefits will be borne by the current investment income, which is mismatched. It belongs to asset class in accounting account.

Unrealized financing income

Right!

Unrealized financing income refers to the part that has not received the rent and is not guaranteed. Because it is uncertain whether it can be recovered on time,

Unrealized financing income is the lessor's

Unrealized financing income =

(1) Lease receivables generated by a lessor's financial lease shall be debited to the "long-term receivables" account at the start of the lease period, based on the sum of the minimum lease payments and the initial direct costs on the lease start date. Residual value, debit the "unguaranteed residual value" account, and credit the "financial lease asset" account at the fair value of the financial lease asset (the sum of the present value of the minimum lease receipt and the unguaranteed residual value), According to the difference between the fair value and the book value of the financial lease asset, debit the "asset disposal gains and losses" account or credit the "asset disposal gains and losses" account, and credit the "bank deposit" and other subjects at the initial direct costs incurred, and the difference , Credit to the subject.

Financing income determined on a regular basis using the actual interest rate method is debited to the subject and credited to the "lease income" subject.

(2) In the case of deferred payment in installments, long-term receivables arising from the sale of goods or the provision of labor services, which are financing in nature, meet the conditions for revenue recognition, debit the "receivable contract or agreement price" "Long-term receivables" are credited to subjects such as "main business income" based on the fair value of the contract or agreement price receivable, and the difference is credited to this subject. If VAT is involved, it should be handled accordingly.

The interest income determined on a regular basis using the actual interest rate method is debited to the subject and credited to the "financial expense" subject.

The credit balance at the end of this course reflects the unrealized financing income that the enterprise has not yet transferred to the current income.