Finance General Faqs

Define "book value" as applied to accounting
Carrying amount (original value of the asset minus accumulated depreciation) ...... More »
In terms of accounting the trial balance when is it taken?
At least once a month ...... More »
What is marginal cost?
The marginal cost of an additional unit of output is the cost of the additional inputs needed to produce that output. More formally, the marginal cost is the derivative of total production costs with respect to the level of output. Marginal cost a...... More »
What is meaning of invoice?
Invoice is a statement which contains the under mentioned details compulsorily. 1. Invoice Number 2. Invoice date 3. Name and address of the person 4. Name and address of the person to whom invoice is made (Buyer...... More »
What is the difference between Consigner and Consignee?
Consigner is the person who is the owner of the goods and who deliver the goods to the consignee. Consignee is the person who receives the goods and he just possesses the goods and not the owner. ...... More »
What happens to unsold newspapers?
They are picked up by the delivery driver and transported back to the distribution center where they are kept for recycling. ...... More »
What countries are the members of the OECD?
Members of the Organization for Economic Cooperation and Development are: Twenty countries originally signed the Convention on the Organization for Economic Co-operation and Development on 14 December 1960. Since then a further ten count...... More »
What is the difference between service industry and industry in economy?
Industry is a generic term, but is most commonly used as a substitute term for a manufacturer of goods such as Pepsi or Ford. The term industry can also be used to refer to a very specific group of companies. The service industry is ess...... More »
What is profitability analysis?
This is an analysis of costs and revenue to determine whether a venture will make a profit. This is important information in deciding on whether to make an investment. The length of time required to repay the initial investment can be a critical f...... More »
What are the advantages of leaving resource allocation to price allocation?
The 5 advantages are Neutral, Flexible, Freedom of choice, No administrative cost and lastly Diminished incentives. Distinguish between diminishing returns and diseconomies of scale. Diseconomies of scale I guess means as you produce more it becom...... More »