When drawing according to regulations
Borrow: profit distribution-profit payable
Loan: profit payable
meanwhile
Debit: profit distribution-undistributed profit
Loan: Profit Distribution-Profit Payable
time of payment
Borrow: profit payable
Loans: bank deposits
Accounting entries refer to accounting entries that indicate the direction, name and amount of borrowing and lending accounts according to the contents of economic business. An accounting entry consists of three elements: the direction of borrowing and lending, the name of the corresponding account (subject) and the amount to be recorded. According to the number of accounts involved, it is divided into simple accounting entries and compound accounting entries. Simple accounting entries refer to accounting entries that only involve the debit of one account and the credit of another account, that is, accounting entries that borrow a loan; Compound accounting entries refer to accounting entries composed of two or more corresponding accounts, that is, accounting entries with one loan and multiple loans, one loan and multiple loans or multiple loans.
Which subject does profit distribution belong to?
1. Profit distribution is an owner's equity account, which mainly accounts for the distribution of net profits or losses and the balance after the distribution of net profits (or losses).
2. Main purpose: adjust the "profit this year" account. Debit means decrease, and credit means increase. The undistributed profit is a detailed account, and the accumulated undistributed profit or accumulated uncompensated loss at the end of the year is accounted for. At the end of the year, the enterprise will transfer the net profit (or loss) realized throughout the year from "current year's profit" to the detailed account of "profit distribution-undistributed profit".
3. Profit Distribution-The credit balance of the detailed account of undistributed profit is the accumulated undistributed profit of the enterprise, and if it is the debit balance, it is the accumulated uncompensated loss of the enterprise.
To sum up, the subsidiary announced the distribution of dividends, and then the parent company received the dividends of the subsidiary, which should be accounted for by the subjects of "dividends receivable" and "investment income". Dividends receivable refer to the cash dividends that enterprises should receive and the profits that other units should distribute. Investment income refers to the income obtained by enterprises or individuals from foreign investment (the losses incurred by the government are negative), including dividend income, bond interest income and profits shared by joint ventures with other units.
Legal basis:
company law
Article 166
When the company distributes the after-tax profit of the current year, it shall withdraw 10% of the profit and include it in the company's statutory reserve fund. If the accumulated amount of the statutory common reserve fund of the company is more than 50% of the registered capital of the company, it may not be withdrawn.
If the statutory reserve fund of the company is insufficient to make up for the losses of the previous year, the profits of the current year shall be used to make up for the losses before the statutory reserve fund is withdrawn in accordance with the provisions of the preceding paragraph.
After the company withdraws the statutory reserve fund from the after-tax profits, it may also withdraw the reserve fund from the after-tax profits upon the resolution of the shareholders' meeting or general meeting.
After-tax profits of the company after making up losses and drawing provident fund shall be distributed by the limited liability company in accordance with the provisions of Article 34 of this Law; A joint stock limited company shall distribute shares according to the proportion of shares held by shareholders, except that the articles of association of a joint stock limited company stipulate that shares shall not be distributed according to the proportion of shares held.
If the shareholders' meeting, shareholders' general meeting or the board of directors violates the provisions of the preceding paragraph and distributes profits to shareholders before the company makes up losses and withdraws the statutory reserve fund, the shareholders must return the profits distributed in violation of the provisions to the company.