Items

• accumulated depreciation

  Total amount an asset has been depreciated over a period of time (Expensing a fixed asset, to reflect the consumption of its economic benefits).
• acid test ratio

  Involves assessing a company’s financial position to see whether it has enough funding to cover its current debt.
• acquisition

  The act of buying or obtaining an asset.
• administrative expenses/costs

  Costs to maintain entity’s daily operations/regular operations.
• advance

  Something that is carried out ahead of time. A payment made in advance, even before the product or service is delivered.
• analysis

  The process of breaking down something and evaluating and examining it to understand how it works.
• age analysis

  A list of entity’s accounts receivables categorised per month to evaluate entity’s accounts receivables and to analyse the age of the debt.
• allowance

  Represents the estimated amount of accounts receivable that will not be paid at the end of a period.
• amortisation

  The systematic allocation of the depreciable amount of an asset over its useful life.
• amount due

  The amount owed to a seller or provider of goods or services.
• appropriation account

  Is a type of ledger account used to record the allocation and use of funds.
• arrears

  Money that is owed, should have been paid earlier.
• asset

  Asset is something valuable that a business owns, it can be used to make money, converted into cash or provide a future benefit.
• asset disposal

  The disposal of a fixed asset (other long-term asset) and the removal thereof from the company’s accounting records.
• auction

  A public sale of goods or property, sold to the highest bidder.
• authorised share

  Is the maximum number of shares that the company is allowed to issue.
• authorised share capital

  Is the total amount of money that a company is allowed to raise by issuing shares.
• audit

  An audit is an examination of a company's financial statements by an independent auditor. The auditor assesses the company's financial statements to ensure that they are fairly presented and in accordance with applicable accounting standards.
• audit fees

  Remuneration received by accounting firms and auditors for the delivering of professional services.
• auditor general

  The Auditor-General of South Africa (AGSA) is the supreme audit institution (SAI) of South Africa. It is the only institution that, by law, has to audit and report on how the government is spending the South African taxpayers’ money.
• bad debt

  Refers to outstanding balances from receivables or loans owed that are not recoverable and are written off.
• bad debt recovered

  Payment received for bad debt that was previously written off.
• balance

  The difference between the sum of debit entries and the sum of credit entries entered into an account during a financial period (the relevant total).
• balance brought forward

  The balance of an account at the beginning of a period.
• balance carried forward

  The balance of an account at the end of a period.