Profit and Loss Account

The profit and loss account (income statement) covers a period, usually a fiscal year (Shrawan to Asar in Nepal), and is prepared on the accrual basis.

For a bank, the statement under NFRS typically shows:

1. Interest income less interest expense = net interest income.
2. Fee and commission income less fee expense = net fee and commission income.
3. Net trading income and other operating income, giving total operating income.
4. Impairment charge (loan loss provision) for credit losses.
5. Personnel expenses, other operating expenses and depreciation, giving operating profit.
6. Non-operating income and expenses, giving profit before tax.
7. Income tax expense, giving net profit for the year.

Under NFRS, items such as fair value changes on certain investments go to other comprehensive income, and the two together form the statement of profit or loss and other comprehensive income. Profit from this statement flows into retained earnings in the balance sheet after appropriations such as the general reserve and regulatory reserve.

नाफा-नोक्सान हिसाब (आय विवरण) अवधि (नेपालमा साउन–असार आर्थिक वर्ष) को हुन्छ र प्रोदभावी आधारमा तयार गरिन्छ।

बैंकको NFRS अनुसारको विवरणमा:

१. ब्याज आम्दानी − ब्याज खर्च = खुद ब्याज आम्दानी। २. खुद शुल्क तथा कमिसन आम्दानी। ३. खुद कारोबार आम्दानी र अन्य सञ्चालन आम्दानी = कुल सञ्चालन आम्दानी। ४. कर्जा नोक्सानी (impairment) खर्च। ५. कर्मचारी तथा अन्य सञ्चालन खर्च र ह्रासकट्टी = सञ्चालन नाफा। ६. गैरसञ्चालन आम्दानी/खर्च = करअघिको नाफा। ७. आयकर घटाएपछि खुद नाफा।

नाफा बाँडफाँट (साधारण जगेडा, नियामकीय जगेडा) पछि वासलातको सञ्चित नाफामा सर्छ।