Business

B2B (Business to business)

B2B (Business to business)

B2B (Business to business) In b2b type, business takes place among many business organizations such as wholesalers and retailers. It is a form of transaction between businesses, such as one involving a manufacturer and wholesaler, or a wholesaler and a retailer. Service providers also engage in B.....

Read More »

Concept of Royalty

Concept of Royalty

Concept of Royalty The term royalty is concerned with the assets of tangible or intangible in nature. It means a payment to the holder of a patent or copyright or resource for the right to use their property. The assets like land, building, mines, copyright, patent, trademark, etc. are attracted .....

Read More »

Average Loss

Average Loss

Average Loss It signifies the loss or damage, which arises inconsequent upon extraordinary sacrifices made or expenses incurred for the preservation of the ship and cargo. This loss must be borne proportionately by all who are interested e.g. cargo owners, ship owners, charterers and so on. Avera.....

Read More »

Average Due Date

Average Due Date

Average Due Date An Average Due Date is an equated date on which a single payment (in place of several payments) may be made of amounts due on different dates. It is the date on which several debts due on different dates can be paid by a single payment without any loss of interest either [&hellip.....

Read More »

Terms used in Accounting for Royalties

Terms used in Accounting for Royalties

Royalty is the sum payable by the lessee to the lessor for the use of rights vested in the lessor. Royalty payments are made according to carefully constructed contracts, so it’s important to employ an accurate accounting system to keep track of them. It is paid for extraction of mines, for.....

Read More »

Auction Sale

Auction Sale

Auction Sale An auction sale is a public sale. It is a method and selling an asset to a person in competition in the presence of public bidders. The person offering the highest bid (highest amount of money) is given the property thus auctioned. It is a public sale in which different willing buyer.....

Read More »

Concept of Hire Purchase System

Concept of Hire Purchase System

Concept of Hire Purchase System Hire purchase system refers to the system wherein, the seller of goods delivers the goods to the buyer without transferring the ownership of goods. The purchase and sale of goods under a hire purchase system are different from cash sale and credit sale. In case of .....

Read More »

Basic Terminologies of Accounting for Hire Purchase System

Basic Terminologies of Accounting for Hire Purchase System

The hire-purchase system is a special system of purchase and sale of goods. It is a special system of purchase and sale of goods. Under this system, the purchaser pays the price of the goods in installments. The installments may be annual, six-monthly, quarterly, monthly fortnightly, etc. Basic T.....

Read More »

At Premium

At Premium

At Premium It means more value of shares and debentures i.e. higher value than the face value of shares or debentures. “At a premium” is a phrase attached to a variety of situations where a current value or transactional value of an asset is above its fundamental value. If you buy or .....

Read More »

Accounting Methods of Recording Hire Purchase Transactions

Accounting Methods of Recording Hire Purchase Transactions

Accounting Methods of Recording Hire Purchase Transactions Hire purchase is an agreement between two parties in which one party purchase any asset from other parties. Because he has no money to pay, so he pays per month hire charges. For the accounting point of view, both hire purchase and instal.....

Read More »

Antedated Check

Antedated Check

Antedated Check Antedated means the date entered on any legal contract which is earlier than the actual date of occurrence of contract. An antedate is a date entered on a legal contract or check that is prior to the actual date of occurrence. A cheque bearing a date prior to the actual date of si.....

Read More »

Arbitrage

Arbitrage

Arbitrage is the strategy of taking advantage of price differences in different markets for the same asset. It is an operation in which a person buys goods in one (cheaper) market and sells in another (dearer) market in order to make a profit out of the price difference. It happens when a securit.....

Read More »