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In the above figure, the diagram shows
Net Income
The amount of money a company earns after deducting all its expenses, taxes, and losses from its total revenue.
Prior Period Adjustments
Prior period adjustments are corrections made to a company's financial statements for errors or omissions in previously reported periods.
Comprehensive Tax Allocation
A method of accounting that allows for the recognition of deferred tax liabilities and assets for future tax consequences of events that have been recognized in a business's financial statements or tax returns.
Deferred Method
A method of accounting where certain revenues or expenses are not recognized in the period they occur but are deferred to a later period.
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