German to English Accounting Translation Glossary

Business-owned life insurance contract typically on the lives of principal officers that normally provides for guaranteed death benefits to the company and the accumulation of a cash surrender value. An overall operating philosophy of INVENTORY management in which all resources, including materials, personnel, and facilities, are used only as needed. When two or more persons or organizations gather CAPITAL to provide a product or service. If the IRS believes that collection of tax appears to be in jeopardy (danger of being uncollected), it may immediately assess and collect such tax. Shares of a CORPORATION, authorized in the corporate charter, which have been issued and are outstanding. Income from SECURITIES and other non-business investments; such as DIVIDENDS, INTEREST, etc.

Money accumulated on a regular basis in a separate custodial ACCOUNT that is used to redeem DEBT securities or PREFERRED STOCK issues. Number of shares of stock provided for in the articles of INCORPORATION of a COMPANY. Source of financing whereby an entity’s ASSETS (typically mortgage loans, lease obligations or other types of RECEIVABLES) are placed in a special purpose vehicle that issues SECURITIES collateralized by such assets. EXCHANGES and OVER-THE-COUNTER markets where securities are bought and sold subsequent to original issuance, which took place in the primary MARKET. Financial and informational DISCLOSURES required by the SEC in order to comply with certain sections of the Securities Act of 1933 and the Securities and Exchange Act of 1934. Some of the more common filings that publicly owned companies must submit are the FORM 10-K, FORM 10-Q and FORM 8-K.

Factory Overhead Costs

The recognition of an expense or revenue that has occurred but has not yet been recorded. Formal record that represents, in words, money or other unit of measurement, certain resources, claims to such resources, transactions or other events that result in changes to those resources and claims. For more information about intermediate accounting topics, contact us. This is a relatively simple accounting process that’s typically performed by software in today’s accounting environment. This paper’s aim is achieved through a literature review focusing on the assumptions around the Anthropocene, planetary boundaries and organizations.

• Grant date does not occur until the conclusion of the 30 day periodwhen the price is known.
• A trust may be a simple trust in one year and a complex trust in another year.
• Financial plan that serves as an estimate of future cost, REVENUES or both.
• If your business entity operates in other countries, you will be using different currencies in your business operations.
• Shares of a corporation’s stock authorized in its charter but not issued.
• (5) Also if the exercise price of an option grant differs from the closing market price per share on the grant date companies must include a description of the method for determining the exercise price.

A BOND that gives the bondholders a pledge of certain company assets as a guarantee of repayment. A useful measure of overall operational efficiency when compared with the prior periods or with other companies in the same line of business. The ACCOUNT that reflects the stockholders’ claim to the assets earned from operations and reinvested in corporate operations. If for a CORPORATION there are seven statutory options for reorganization that would cause the corporation and shareholders to not recognize any GAIN or LOSS on the exchange of stock. Research is a planned activity aimed at discovery of new knowledge with the hope of developing new or improved products and services. Development is the translation of research findings into a plan or design of new or improved products and services.

Equity Securities

Right to purchase or sell a specified number of shares of stock at specified prices and times. Generally, the basis of property acquired by INHERITENCE, BEQUEST or device from a DECENDANT is the FAIR MARKET VALUE of the property on the date of the decendant’s death. Thus if the fair market value is more than the decedent’s basis, a taxpayers basis in the property received is stepped-up. Grouping of expenses reported on a company’s PROFIT and LOSS statement between COST OF GOODS SOLDand INCOME deductions.

BOND INTEREST payment covering less than the conventional six-month period. The number of shares in a COMPANY that have been issued and remain in circulation. A business that is treated as distinct from its creditors, customers, and owners.

Foreign Currency Translation Methods

Investment company which generally offers its shares to the general public and invests the proceeds in a diversified portfolio of SECURITIES. Definite fixed amounts stated in terms of dollars, either by law or by contract agreement. The goods on hand at any one time that are available for sale to customers in the regular course of business. An INVENTORY account made up of the balances of materials, parts, and supplies on hand at a given time. Magnitude of an omission or misstatements of ACCOUNTING information that, in the light of surrounding circumstances, makes it probable that the judgment of a reasonable person relying on the information would change or be influenced. The amount added to the price of a product by a retailer to arrive at a selling price.

Goods bought for personal or household use, as distinguished from capital goods or producer’s goods, which are used to produce other goods. A FINANCIAL STATEMENT for external reporting that presents only the major categories of information. Presentation of financial statement data without the ACCOUNTANT’S assurance as to conformity with GENERALLY ACCEPTED ACCOUNTING PRINCIPLES (GAAP).

Government Accountability Office (GAO)

Such events are disclosed in the notes to the financial statements. If you buy a building that will last for many years, you don’t write off the cost of that building all at once. Instead, you take depreciation deductions over the building’s estimated useful life. Thus, you’ve “matched” the expense, or cost, law firm bookkeeping of the building with the benefits it produces, over the course of the years it will be in service. The providing of various accounting or data-processing services by an accountant, the output of which is in the form of financial statements ostensibly to be used solely for internal management purposes.

Method of ACCELERATED DEPRECIATION, approved by the INTERNAL REVENUE SERVICE (IRS), permitting twice the rate of annual DEPRECIATION as the STRAIGHT-LINE DEPRECIATION method. Last day the AUDITORS perform fieldwork and the last day of responsibility relating to significant events subsequent to the financial statement date. Used as an indicator of a COMPANY’s liquidity and ability to pay short-term debts. https://goodmenproject.com/business-ethics-2/navigating-law-firm-bookkeeping-exploring-industry-specific-insights/ ASSET that one can reasonably expect to convert into cash, sell, or consume in operations within a single operating cycle, or within a year if more than one cycle is completed each year. DEBT instrument issued by a private CORPORATION, as distinct from one issued by a government agency or a municipality. In general, agreement by which rights or acts are exchanged for lawful consideration.