The summary of net income refers to the retained profit of the company after paying income tax according to regulations, which is also generally called after-tax profit or net income.
Summary of net profit refers to the amount of the total profit of the enterprise after deducting income tax, that is, the after-tax profit of the enterprise.
Second, the role is different:
The role of net income and net profit is the final result of enterprise management. The more net profit, the better the operating efficiency of the enterprise; If the net profit is small, the operating efficiency of the enterprise will be poor, which is the main index to measure the operating efficiency of the enterprise.
The role of net profit net profit is the final result of enterprise management. The more net profit, the better the operating efficiency of the enterprise. If the net profit is small, the operating efficiency of the enterprise will be poor, which is the main index to measure the operating efficiency of the enterprise.
Third, the calculation method is different:
The calculation formula of net income is: net income = total income ×( 1- income tax rate) net income is the final result of enterprise operation, and the more net income, the better the operating efficiency of the enterprise; If the net income is small, the operating efficiency of the enterprise will be poor, which is the main index to measure the operating efficiency of the enterprise.
Net profit = total profit-income tax, and net income is the increase of owner's equity caused by profitable operation. It means the same thing as net profit.
Net profit = total profit-income tax, and net income is the increase of owner's equity caused by profitable operation. It means the same thing as net profit.
Net profit is the total profit realized by various operations of the enterprise, and income tax must be paid in accordance with the tax law. Therefore, the difference between the total profit of an enterprise and the income tax expenses that should be deducted from the total profit of the current period is net profit, also known as after-tax profit.
Baidu encyclopedia-net income
Baidu encyclopedia-net profit