Accounting

An asset valuation reserve (AVR) stands for asset valuation reserve, which is money set aside to protect a corporation against unforeseen debt. One of the…

Assets with a fixed value in terms of currency units are referred to as monetary assets (e.g., dollars, euros, yen). Every asset has a monetary…

A value added statement (VAS) is a statement that shows a company’s net added value over a specific time period on its total transactions. The…

According to the United States Fair Labor Standards Act (FLSA), a non-exempt employee is one who is entitled to overtime compensation of at least 1.5…

An account in trust, also known as a trust or ITF “in trust for” account, is a bank account formed and managed by the trustee…

A royalty trust is a form of corporation that was established to operate as the owner of mineral rights to wells, mines, and other similar…

Voluntary compliance is one of the options for demonstrating corporate social responsibility, and it is a presumption that the US tax system functions under. It…

The allowance for doubtful accounts, also known as the allowance for uncollectible accounts, is a contra-asset account linked to accounts receivable that serve to reflect…

Businesses account for bad debt expense when they have a receivable account that will not be paid. It is recognized when a receivable is no…

A bad debt reserve, also known as an allowance for doubtful accounts (ADA), is a provision for the amount of bad debt that is expected…

A report that includes outstanding customer bills and unused credit memos by date ranges is an accounts receivable aging (tabulated via an aged receivable report).…

Gross working capital is the entire amount of current assets held by a corporation at any particular time within an accounting year. Cash, accounts receivable,…