Accounting Reference Date
An accounting reference date (ARD) is the last date of a company’s financial year. It determines: The end of the…
Accounting Records
Accounting records are the documents and books used to record all financial transactions of a business. They include: Journal entries…
Accounting Ratio
An accounting ratio is a numerical comparison of two financial figures taken from financial statements. It is used to: Analyse…
Accounting Rate of Return (ARR)
Accounting Rate of Return (ARR) is a method used to evaluate an investment based on the average annual accounting profit.…
Accounting Profit
Accounting profit is the profit calculated by subtracting total explicit expenses from total revenue. Accounting Profit = Total Revenue –…
Accounting Principles Board (APB)
The Accounting Principles Board (APB) was a U.S. organization responsible for issuing accounting standards before 1973. It: Developed accounting principles…
Accounting Principles
Accounting principles are the basic rules and guidelines used to prepare and present financial statements. They ensure that financial information…
Accounting Policies
Accounting policies are the specific principles, methods, and rules a company follows to prepare its financial statements. They determine: How…
Accounting Plan
An accounting plan is a structured list of accounts that a business uses to organize and classify its financial transactions.…
Accounting Period
An accounting period is the fixed length of time for which a business prepares its financial statements. It can be:…