Related Words

Cash-Basis Accounting: A system of accounting in which transactions are recorded and revenues and expenses are recognized only when cash is received or paid.

Financial Accounting Standards Board (FASB): The Financial Accounting Standards Board (FASB) is an independent, self-regulatory board that establishes and interprets generally accepted accounting principles (GAAP). It operates under th . . . View Full Definition

Generally Accepted Accounting Principals (GAAP): The sum of taxes, charges, and miscellaneous income taken in at the state and local level while neglecting overlapping revenue which may be erroneously counted twice.

Financial Accounting: The area of accounting concerned with reporting financial information to interested external parties.

Equity Method Or Accounting For Investments In Stocks: Method used to account for an investments in the stock of another company when significant influence can be imposed (presumed to exist when 20 to 50 percent of the outstanding voting stock is owned).

Double-Entry Accounting: A system of recording transactions in a way that maintains the equality of the accounting equation.

Generally Accepted Accounting Principles (GAAP): Authoritative guidelines that define accounting practice at a particular time.

Current Cost Accounting: The valuing of assets, stock, raw materials etc. at current market value as opposed to its historical cost .

Inflation Accounting: The rate at which the general level of prices for goods and services is rising.

Replacement Cost Accounting: An accounting method that includes as part of depreciation the difference between the original purchase price of an asset and the current replacement cost.