Independent accounting refers to the accounting conducted by a unit that has a complete accounting voucher, accounting books and accounting statement system, comprehensively records the economic business that has occurred, and prepares financial statements on a regular basis.
Units that carry out independent accounting are called independent accounting units, which have a certain amount of funds and independent economic autonomy, open bank accounts independently, and handle various revenue and expenditure settlement businesses; Establish an independent accounting institution to conduct comprehensive accounting; Prepare the budget and calculate the profit and loss separately.
The characteristics of independent accounting units are: independent organizational form in management, certain funds, and opening accounts in local banks; Conduct business activities independently and be able to sign economic contracts with other units; Independent accounting of profits and losses, the establishment of independent accounting institutions, equipped with accounting personnel, a complete accounting work organization system.
Subsidiary is a legal concept corresponding to parent company. A parent company refers to a company that owns more than a certain proportion of shares in another company or can actually control another company through an agreement. A subsidiary refers to a company whose shares are owned by another company or actually controlled by another company through an agreement. A subsidiary has the status of a legal person and can bear civil liability independently, which is an important difference between a subsidiary and a branch.
Non-independent accounting, also known as reimbursement system, refers to the daily business information related to the business activities of the unit, which is submitted to the superior unit for accounting on a daily or regular basis. The characteristics of non-independent accounting units are: generally, a certain amount of working capital is allocated by the superior to engage in business activities, all income is paid in full, all expenses are reimbursed to the superior, profits and losses are not calculated separately, and only a few main indicators are recorded and calculated for simple accounting.