What is Depreciation

What is Depreciation?

February 24, 2023Posted inAdvance AccountingNo Comments
Depreciation is an accounting method used to allocate the cost of a tangible asset over its useful life. It is a non-cash expense that is used to gradually reduce the value of an asset and allocate the cost to the periods in which the asset is used. This allows businesses to match the expense of an asset with the revenue it generates, and it is an important component in determining a company's net income and tax liability.
What is Closing Stock

What is Closing Stock?

February 24, 2023Posted inAdvance AccountingNo Comments
Closing stock, also known as ending inventory, refers to the total value or quantity of goods and materials that a business has on hand at the end of a specific period, such as a month or year. This value is used in accounting and financial reporting as part of the calculation of cost of goods sold (COGS) and gross profit.
What is Bill of Exchange

What is Bill of Exchange?

February 23, 2023Posted inAdvance AccountingNo Comments
A bill of exchange is a legal instrument, similar to a check, that is commonly used in international trade. It is a written order from one party (the drawer) to another party (the drawee) to pay a specified sum of money to a third party (the payee) on a specific date or at a specific time in the future.