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Accounting Earnings

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Accounting Earnings
A company's earnings as reported in the income statement.

Notes:
Some financial analysis uses forward looking earnings rather than the accounting earnings.


Accounting earnings
Earnings of a firm as reported on its income statement.

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"There is no one answer to accounting earnings or (tax) returns," said Kenneth Merchant, the Deloitte & Touche chair in accounting at USC.
We are concerned, however, that, because this determination is to be made based upon a comparison of the accounting income from investment property with the accounting income from businesses other than an investment business, the entity's status as a FIE will vary from year to year based solely on fluctuations in accounting earnings.
Dow doesn't measure its own performance by accounting earnings, but rather by what Reinhard calls "economic profit," the added value above the cost of capital.
 
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