PLAIN-LANGUAGE DEFINITION
The cumulative net effect of a company's profits and losses since it began, after distributions or withdrawals to owners where applicable. Retained earnings can be positive or negative; accumulated losses can produce a deficit even when no distributions were made.
What to check
Check the statement date, classification, and whether the balance agrees with your accounting records.
Where this connects to Impresa
You may encounter this concept when reviewing Financial Health. Start with the underlying inputs and check the applicable reporting period before interpreting the result.
Read the Financial Health guideA NOTE ON INTERPRETATION
NEXT DEFINITIONAccounts Receivable ↗Definitions here explain the concept. Accounting treatments, formulas, and industry comparisons may vary. Use your own records and qualified advice for material decisions.