Accrual Basis: In the context of accounting, practice in which expenses and income are accounted for as if they are earned or incurred, whether or not they have been received or paid. Antithesis of cash basis accounting.

 

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Accrual Basis: In the context of accounting, practice in which expenses and income are accounted for as if they are earned or incurred, whether or not they have been received or paid. Antithesis of cash ba . . . View Full Definition

Fare Basis (Code): The sometimes confusing code or codes on which the price of an airline ticket is based. Some itineraries contain many different codes. Most will indicate whether a fare is refundable or not. . . . View Full Definition

Fixed Price Basis: Payments of a fixed, equal amounts paid to an insurance company for insurance or an annuity.

Flow-Through Basis: Government bonds that when owned at the time of death are acceptable at par in payment of federal estate taxes.

Fare Basis: Conditions, including service class and ticketing provisions, that determine a fare. Fare basis is designated by identifying letters and/or numbers on a ticket.

Discounted Basis: The yield or annual interest rate on a security sold to an investor at a discount. A bond that is sold at $4875 that matures to $5000 has a discount of $125. To calculate the discount yield: . . . View Full Definition

Cost Basis: The cost basis is the original price of an asset — usually the purchase price plus commissions. You use the cost basis to calculate capital gains and capital losses, depreciation, and return . . . View Full Definition

Depreciable Basis: In investment real estate only structures can be depreciated. The depreciable basis is the original basis less the value of the land.

Formula Basis: The form required by the NASD to report equity transactions after the market's regular hours.

Fractional Basis: Each property in the improvement district is charged a prorated share of the total amount of the special tax assessment. The share is determined either on a fractional basis (four houses may . . . View Full Definition