Retained profits are profits of that particular financial year (After taken into account of dividends payouts, transfer to reserves and etc) without adding profits from the previous year. When Retained profit of the current year is transferred to the balance sheet after adding previous year profits, it is called retained earnings.
(Retained profit + Retained earnings b/d = Retained earnings c/d).
Copyright © 2026 eLLeNow.com All Rights Reserved.