Finance FAQs

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 »
Define "book value" as applied to accounting
Carrying amount (original value of the asset minus accumulated depreciation) ...... 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 does it mean to do accounting training outside of public practice?
Training outside Public Practice is an alternate route to become a chartered accountant. However, you cannot perform statutory audits; instead, you specialize in financial management. ...... More »
What does the word credit mean in terms of accounting?
The word "credit" is part of the equation of double entry bookkeeping. In order for bookkeeping entries to balance, there must always be a debit (left side, abbreviated by "dr") and credit (right side, abbreviated by "cr") entry that equ...... More »
What are the Accounting entries for branch accounts?
DR investments in branch Cr cash Cash sent to branch ...... More »
What is a register when referring to accounting or bookkeeping?
Register was the name of the Company that mfg. the first Green line spread sheets. Paper sheet ledgers were originally used to maintain credit records etc. ...... More »
Discuss the consistency concept in accounting
Consistency is a concept used when applying accounting methods to a business, the business must continue to use that particular method. For an example if a company is charging depreciation using the straight-line method, they must stick with the s...... More »
What is a monopoly?
When one business or company dominates its area and squeezes out all its competition, the result is the consumer does not have a free choice, and inevitably, the price of its products or services will increase, and the 'Monopoly' increases...... More »
In terms of accounting the trial balance when is it taken?
At least once a month ...... More »