Extraction is used for depreciation of fixed assets or calculation of loan interest. There is no expenditure for this expense itself, but it needs to be included in the expense or income of this month according to the accrual basis. On the premise of accrual basis, some expenses that have occurred but have not been actually paid are included in advance; Calculate and withdraw relevant (retained, impaired) reserves according to the regulations. Anticipate certain accounts payable. Other expected items in line with the accounting system.
Second, amortization.
The best example of installment payment is newspaper subscription, which always pays first and then receives newspapers every day. Pay in advance, the income period is late, and the expenses must be amortized monthly according to the accrual principle. It means paying part of the principal, allocating special funds to the sinking fund, and gradually depreciating assets or intangible fixed assets. Such as trademarks, goodwill, patents, copyrights, etc. Turn their costs into expenses and gradually reduce their financial responsibilities in these ways.
Three. share
Allocation, allocation is to determine the cost of each cost object; Allocate or allocate various costs to various products, processes, tasks or departments. First of all, we should divide the attributes of various departments and units, which belong to sales, management, production, welfare or projects under construction, and then count them into corresponding subjects according to the actual wages of various departments and units, and cannot share them according to a certain proportion. That's inaccurate, it can't truly reflect the cost of the enterprise, and of course it has little impact on the current benefits.
Extended data:
Intangible assets, long-term deferred expenses, low-value consumables, etc. Can make a long-term contribution to the company's business and income, so their acquisition cost should be apportioned to each year, so it should be amortized.
Accrual is to reflect the principle of quota matching. For example, an expense actually happened this month, but it will not be paid until next month.
However, the expenses incurred this month actually match the new income this month, which reflects the matching principle of accrual basis. The most typical is salary. For example, the actual salary of 1 month (due to attendance and calculation, etc. ) It is often paid in February, but the salary in 1 month is actually paid by the income in 1 month, so this expense should match the income, so it will be accrued in 1 month, and then.
References:
Share-Baidu Encyclopedia
Amortization-Baidu Encyclopedia
Exit-Baidu Encyclopedia