The costs which should be used for decision making are often referred to as “relevant costs”. Any costs which would be incurred whether or not the decisio...

General reserve is referred to as the reserve fund that is created by keeping aside a part of profit earned by the business during the course of an accoun...

Operating expenses include selling, general and administrative expense (SG&A), depreciation, and amortization, and other operating expenses. Operating...

One of the key areas to know when it comes to sales tax is “sourcing,” which means the location where a sale is taxed. Origin-sourced sales are taxed wher...

Cost per thousand (CPM), also called cost per mille, is a marketing term used to denote the price of 1,000 advertisement impressions on one web page. If a...

Term Obligation means a loan that is a closed-end extension of credit by the Originator to an Obligor which may be fully funded or partially funded at the...

Realisation Account is a nominal account which is prepared at the time of dissolution of firm. It is prepared to find out the profit or loss realized by t...

An entrepreneur is someone who manages a business. An entrepreneur is someone who creates a business and potentially makes money and runs the business. An...

Valuation balance sheet is prepared by the life insurance company, or it is prepared by the actuary for the life insurance company. Valuation balance shee...

Variable costs are defined as costs that go up or down depending upon the usage of the airplane. For example, the more hours that fly your airplane, the h...