An explanatory note is one of the most important elements of annual accounting records. It should contain information about the activities of the organization, which is not described in other reporting documents. The information in the note helps to get a complete picture of the organization's financial position and the results of its activities for the designated reporting period.
Instructions
Step 1
The regulatory structure of the accounting note has not been established, so the organization has the right to develop it independently. However, this document is more informative than the income statement.
Step 2
In the explanatory note, it would be advisable to group all the data in several directions. For example, general information, information about production and sales, material support, prospects, etc. can be a separate block of information. You can also group information based on the type of activity that the organization is doing.
Step 3
A separate paragraph reflects the mandatory information that is required by the relevant accounting regulations (Federal Law No. 129-F3 "On Accounting"), but only if it is not indicated in other reporting documents.
Step 4
Provide information about the organization, namely the main types of its activities, the number of employees and the composition of the company's executive bodies. An organization that has subsidiaries and affiliates indicates all addresses and names, as well as the directions of their activities.
Step 5
Describe all the income and expenses of the organization, namely sales volumes, distribution costs, the composition of reserves for future expenses and the composition of non-operating income and expenses.
Step 6
Indicate the results of the consideration of the annual accounts and distribution of net profit.
Step 7
Please provide information on intangible assets and related liabilities. Indicate all loans and credits, as well as the terms of repayment of arrears on the main loans. If the borrowing organization has not paid you the required amounts, then you need to reflect information about the lost funds. Indicate all liabilities in foreign currency, indicating exchange rate units and the official exchange rate of the Bank of the Russian Federation, which was in effect at the time of drawing up these statements.
Step 8
Other information includes information on the discontinued operations, the value of the assets and liabilities of the organization that will be settled at the time of the closure of the company, as well as all the facts of economic activity in which there is any uncertainty.
