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Profit for all prior years in balance sheet did not match in current balance sheet

Mona0920Mona0920 Member Posts: 3

Good Day!

I need assistance, please...

In 2018 Profit and Loss the net loss was HKD -321,376.98, which has the same amount in the 2018 balance sheet. When I checked the 2019 balance sheet the "profit for all prior years" was only HKD -312,110.58 but when I clicked the Profit for all prior years it is HKD-321,376.98.

in Accounting Technical Support

Comments

  • Mona0920Mona0920 Member Posts: 3

    @AlexL

    Need assistance, please.

    Thank you.

  • JulianPJulianP Member Posts: 1,002 ✭✭✭

    Hey there @Mona0920 !

    Sorry, I'm having trouble understanding your issue. Do you mind providing me with some additional information so I have a better understanding of the issue at hand. This will allow me to investigate further. I look forward to your response!

  • mona_Cmona_C Member Posts: 2

    Hi @JulianP ,

    I signed in using Mona_C for the company I am inquiring about.

    For the 2018 Balance sheet, the "profit between Jan 1 to Dec 2018" account is the same amount as the 2018 profit and loss.

    Coming 2019 reports, the account "profit for all prior years" is not the same as HKD -321,376.98 (it is showing HKD -312,110.58)

    Thank you.

  • KristenVKristenV Member Posts: 121 admin

    Hi @mona_C , thanks for sending over those screenshots! When viewing your 2019 Balance Sheet report, the calculation for "Profit for all prior years" takes into account all the data you have in your Wave account from before 2019. If the amount shown differs from the "Profit between Jan 1, 2018 and Dec 31, 2018" amount shown on the 2018 Balance Sheet report, it may be because additional transactions from prior years are being added in the calculation.

    In order to view a detailed breakdown of these amounts, you can click on these rows in your Balance Sheet report. This will take you to the Profit & Loss report where you can see how everything is broken down. If you have additional questions, feel free to reach back out!

  • mona_Cmona_C Member Posts: 2

    hello @KristenV , thank you for your reply.

    When I click the "Profit for all prior years" on the 2019 Balance Sheet this will show (it is the correct amount for profit for the prior year -2018 ):

    Hope you could assist me with this.

    Thank you.

  • KristenVKristenV Member Posts: 121 admin

    Hi @mona_C , from your screenshot, I noticed that you are viewing your Profit & Loss report in the Accrued report type. In this report type, the Profit & Loss report will take into account transactions which are not included in the Balance Sheet report. This is why you are seeing different numbers reported in the Balance Sheet report versus the Profit & Loss report.

    For more information, check out this Help Centre article: Accrual vs. Cash-Basis Reporting.

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