General concept of Periodic Inventory System Periodic Inventory system is the system where inventory account is not updated for each …
Read moreWhat is Periodic Inventory System? Accounting Treatment of Periodic Inventory System.
Definition of Perpetual Inventory System Perpetual Inventory System is the system where an entity continuously updates its inventory records to …
Read morePerpetual Inventory System. Advantages and Disadvantages of Perpetual Inventory System.
Cash Basis Accounting In a cash basis accounting the revenue is recognized when cash is received by the accountant and …
Read moreAccrual Basis Accounting Versus Cash Basis Accounting
Definition Bank Reconciliation Statement is the process that shows the difference between the Cash Book Balance and the Bank Statement …
Read moreBank Reconciliation Statement: Definition, Procedures
Definition Of Promissory Note A Promissory Note, sometimes which is called as Pro-note, is a central document in dealing with …
What is Fixed Assets Revaluation? Fixed Assets revaluation is the process of increasing or decreasing the carrying value of fixed …
Read moreAccounting Treatment of Revaluation of Fixed Assets
Topic Overview Product Costs are directly attributable to the product, such as Direct Raw Materials, Direct Labour and Direct Overheads …
Read moreWhat is Product Cost and Period Cost? Difference between Product Cost and Period Cost.
Definition of Sunk Cost Sunk Cost is a past cost which is already incurred and can not be recovered. In …
Read moreWhat is Sunk Costs? Difference between Sunk Costs and Opportunity Costs.
Derivatives Literally derivative is something which is derived. Now you may ask what is derived? The entire value is derived …
Read moreWhat is Derivative? What are the types of Derivatives?
Topic Overview PAD stands for Payment Against Documents. PAD Creates to pay the liability of Letter of Credit (LC). After …