What is a contra account?

Q: What is notional principal?

A: This is a type of derivative used by two parties under a contract to exchange the consequences (net…

Q: What is a trial balance? What is its purpose?

A: Trial Balance: Trial balance is the summary of accounts, and their debit and credit balances at a…

Q: What is responsibility accounting?

A:

Q: What are ADRs?

A: Answer: An American depositary receipt (ADR) is a negotiable asset that denotes a non-US company…

Q: What precisely is a T-account, and how does it work?

A: Explanation of T- Accounts looks like this:-  First on the mid of paper T letter is drawn Title is…

Q: When is nonfinancial information relevant?

A: Non-Financial information: Non- Financial decisions are qualitative in nature and do not include…

Q: What does MYOB use the Historical Balancing account for?

A: MYOB: It is often defined as an international accounting software that is used by the businesses for…

Q: What is meant by Remainderman?

A: The remainderman is a beneficiary that receives the principal left in an estate or trust after a…

Q: EBIT

A: EBIT is a measure used by companies to calculate their overall profitability. EBIT stands for…

Q: Trial Balance?

A: Trail balance is the statement which is prepared by the business so that it can be assured that the…

Q: What is deposits in transit?

A: Definition: Bank reconciliation: Bank statement is prepared by the bank. The company maintains its…

Q: What is a T-account? What is it's purpose?

A: An account is Record of transactions whether cash or credit under a particular head of account like…

Q: What is lien?

A: Lien: This is a case or legitimate right against properties normally utilized as collateral so as to…

Q: What are CAM charges?

A: Answer: CAM: The abbreviation of CAM is Common area maintenance charges. These are one of the total…

Q: What is LIBOR?

A: London Interbank bank offering rate (LIBOR): it's a financial interest rate between two bank or…

Q: What is ESOP?

A: It is abbreviated as Employee Stock Ownership Plan is defined as a plan that gives the workers a…

Q: What's control account?

A: Accounting means the summarizing, recording and analyzing of the all business transaction during a…

Q: What ‘LIBOR’ stands for?

A: LIBOR :  LIBOR, which stands for London Interbank Offered Rate, is a globally accepted key…

Q: What is a transaction price?

A: Transaction price: It is the price of a service or a good which is expressed relative to the similar…

Q: What is liability

A: Financial accounting includes recording, collecting, summarizing and interpreting the financial data…

Q: What is hedging?

A: SOLUTION:- Hedging  refers to shielding of  investments. A hedge is an investment method which aims…

Q: What is the definition of a customer?

A: A customer is an individual, firm, company or any other person who purchased goods or services from…

Q: What is EBITDA?

A: EBITDA is a metric which is used to measure the company's profitability. Though there is no legal…

Q: Define Debit

A: Accounting depends on double entry system. As per dual aspect principle of accounting, each and…

Q: what goes where?

A: Let us recall 3 golden rules of accounting: Debit the expense, credit the income. Debit what comes…

Q: What is the EBIT?

A: The income generated by a business in the course of normal operations, after deducting the direct…

Q: What is meant by the term responsibility accounting?

A: Introduction: responsibility accounting is the process of the controlling the cost by giving the…

Q: what is a trial balance?

A: Trial balance is the summary of accounts, where their total debit and credit balances must be equal…

Q: What is an LBO?

A: Leveraged buyout (LBO): It is another firm's takeover, employing a huge sum of borrowed capital to…

Q: What is consignment

A: Consignment is a form of arrangement between two parties in which one party sends goods to another…

Q: What is contra?

A: Contra in accounting terms means an account with balance that has opposite of the normal balance and…

Q: Define the term Force account?

A: Financial Accounting:   It refers to the process of recording the financial transactions of the…

Q: What does the statement mean?

A: A financial system is a collection of entities that allow money to be exchanged, such as banks,…

Q: What is a trial balance?

A: A business wants to ensure that the proper posting of account balance from journal to ledger is…

Q: What are the differences between adjunct account and a contra account?

A: Definition:An adjunct account increases the book value of a liability account.A contra Account…

Q: What is a fee income

A: Fee Income There are different ways an organisation can make the sources of income like sales…

Q: Define contra account

A: Financial Accounting: Financial Accounting can be defined as an activity of recording financial…

Bookkeeping

Bookkeeping is the process of recording the financial transactions of a company on a regular basis. With the process of bookkeeping, companies can track important financial information that helps management in making crucial decisions.