Search results
Results from the WOW.Com Content Network
Accounts receivable represents money owed by entities to the firm on the sale of products or services on credit. In most business entities, accounts receivable is typically executed by generating an invoice and either mailing or electronically delivering it to the customer, who, in turn, must pay it within an established timeframe, called credit terms [citation needed] or payment terms.
the asset's fair value less the cost of selling this asset. Non-current assets 'held for sale' should be presented separately on the face of the statement of financial position as a current asset. For a non-current asset (Fixed Asset) to be classified as 'held for sale', all of the following 4 conditions must be satisfied:
Prepaid expenses – these are expenses paid in cash and recorded as assets before they are used or consumed (common examples are insurance or office supplies). See also adjusting entries . Marketable securities : securities that can be converted into cash quickly at a reasonable price
Here are the answers to some of the most frequently asked questions about fixed and variable expenses. What are examples of a fixed expense? Here are some common examples of fixed expenses: Rent ...
Determining your fixed and variable expenses is paramount to effectively building a budget . But while accounting for necessary costs is a simple and straightforward task, including discretionary ...
In addition research and development expenses can only be recognised as an intangible asset if they cross the threshold of being classified as 'development cost'. [ 22 ] Whilst the standard on provisions, IAS 37, prohibits the recognition of a provision for contingent liabilities, [ 23 ] this prohibition is not applicable to the accounting for ...
Nevertheless, this can happen only if there are receivables that can be converted into cash immediately. [3] However, companies with a big value of cash and cash equivalents are targets for takeovers (by other companies), since their excess cash helps buyers to finance their acquisition. High cash reserves can also indicate that the company is ...
Along with variable costs, fixed costs make up one of the two components of total cost: total cost is equal to fixed costs plus variable costs. In accounting and economics, fixed costs, also known as indirect costs or overhead costs, are business expenses that are not dependent on the level of goods or services produced by the business. They ...