Index of Terms and Definitions – Income Statement
Terms
Financial Revenue
Financial Revenue from
Loan Portfolio
Interest on Loan Portfolio
Fees and Commission on Loan
Portfolio
Financial Revenue from
Investments
Other Operating Revenue
Financial Expense
Financial Expense on
Funding Liabilities
Interest and Fee Expense
on Deposits
Interest and Fee Expense
on Borrowings
Net Adjustment for
Inflation
Inflation Adjustment to
Equity
Inflation Adjustment to
Fixed Assets
Adjustment for Subsidized Cost
of Funds
Other Financial Expense
Net Financial Income
Impairment Losses on
Loans
Provision for Loan
Impairment
Value of Loans
Recovered
Operating Expense
Personnel Expense
Administrative Expense
Rent and Utilities
Transportation
Office Supplies
Depreciation and
Amortization
Other Administrative
Expense
Net Operating Income
Net Non-Operating Income
Non-Operating Revenue
Definitions
Total of revenue from loan portfolio and other financial assets, as well as other
financial revenue from financial services.
Total interest, fees and commission on loan portfolio.
Interest earned on loan portfolio.
Penalties, commissions and other fees charged on loan portfolio.
Net gains on other financial assets.
Other revenue from provision of financial services, including revenue from
insurance or transfer services or non-financial revenue from the provision of
financial services, such as the sale of passbooks or SmartCards. This account
also includes net exchange gains.
Total of financial expense on liabilities, net inflation adjustment, cost-of-funds
adjustment and other expenses from financial services.
Total of interest and fees paid on deposits and borrowings.
Interest and fees paid on demand or term deposits.
Interest and fees paid on borrowings.
Reserved for institutions that use inflation based accounting. Net amount of
inflation adjustment.
Cost of maintaining the value of the institution's equity.
Gain on the value of fixed assets due to inflation.
Adjustment expense for difference between market rate and concessional rate
on borrowings.
Other expenses from provision of financial services, including non-financial
expenses on financial products, as well as net exchange depreciation.
Financial Revenue minus Financial Expense.
Sum of loan loss provision expense and recovery on loans written off.
Loan loss provision expense for the period.
Total recovery on loans written off.
Total of Personnel Expense and Administrative Expense.
Salaries, withholdings, fringe benefits and personnel taxes paid on all those who
work for the institution.
Total of Rent and Utilities, Transportation, Office Supplies, Depreciation and
Other Administrative Expenses.
Rent and utility charges.
Transportation of staff to attend to clients and to manage operations.
Printed matter, supplies, photocopies, books, etc.
Allowance for deterioration, eventual replacement for equipment.
Other non-personnel administrative expenses.
Financial Revenue less Financial Expense, Net Loan Loss Provision
Expense and Operating Expense.
Non-operating Revenue less non-operating expense.
Revenue from activity unrelated to the MFI's core activity of providing financial
services. This could include consulting income, sale of IT products, or fees for
business development services (BDS).
Index of Terms and Definitions – Income Statement (cont’d)
Terms
Non-Operating Expense
Net Income (Before
Taxes and Donations)
Taxes
Net Income After Taxes
and Before Donations
Donations
Net Income (After Taxes
and Donations)
Definitions
Expenses from activity unrelated to the MFI's core activity of providing financial
services, such as BDS development costs or consulting expenses.
Net Operating Income less Net Non-Operating Income.
Includes all taxes paid on Net Income or other measure of profits as defined by
local tax authorities.
Net Income (before Taxes and Donations) less taxes.
Donations made to the MFI to subsidize its operations.
Net Income (after Taxes and before donations) plus donations.