Basic/General Accounting

Items

• par value

  It is the nominal or original price of the instrument.
• payables

  It is the amount of money that the company owes for goods or services received from suppliers.
• PAYE (Pay-as- you-earn)

  It is the income tax that is collected from the employees.
• paymaster

  It is the entity or individual responsible for distributing payments of salaries to the employees.
• payments

  It is the act of giving money to the other party in exchange for goods or services.
• payroll

  It is the calculation and distribution of wages and salaries to employees for a specific period.
• payroll register

  It is a document that has information about the employees’ salaries/wages and the deduction
• payslip

  Document that contains employee’s gross pay, deductions and net pay and the personal details of the employee.
• periodic financial statement

  Reports that are prepared and presented to summarise financial performance and position of the company for a specific period of time.
• periodic system

  It is an inventory system where a company only updates records periodically instead of continuously.
• periodic inventory system

  It is an inventory system where a company only updates records periodically instead of continuously.
• perpetual inventory system

  It is an inventory system where a company updates its records continuously.
• petty cash

  It is a small amount of money that the business keeps to cover daily expenses.
• petty cash journal

  A journal that records the movement of the small amount of cash that the business keeps to cover daily expenses.
• postal address

  It is a specific location expressed in a format that allows postal services to deliver mail and packages to the location.
• per annum

  Per year.
• preference shares

  It is the shares that have privileges over ordinary share but do not have voting rights in a company’s decisions.
• premium

  It is the additional amount paid for a good or service above the standard price.
• preventable

  Something that can be avoided.
• prepaid expense

  An expense that is paid for before it is actually incurred.
• prime cost

  It is the direct costs that can specifically be identified with the product.
• proceeds

  It is the money received from a sale of goods or services or other assets.
• procurement

  It is the process of purchasing goods.
• product

  It is the good or service that is being sold.
• production cost

  A cost incurred to produce a good or service.