by TheBusinessProfessor | Feb 23, 2025 | Managerial & Financial Accounting & Reporting
What is an Imputed Cost?An imputed cost, also known as an implicit cost, notional cost, or implied cost, opportunity cost and implied cost. This refers to the cost incurred when an asset that can be invested is used or is serving another purpose. An imputed cost is a...
by TheBusinessProfessor | Feb 23, 2025 | Managerial & Financial Accounting & Reporting
What is an Impaired Asset?A company’s asset whose market value is lower than the value presented on the company’s balance sheet or the book value of the asset is an impaired asset. Impairment occurs to the value of an asset when there is a sudden decrease...
by TheBusinessProfessor | Feb 23, 2025 | Managerial & Financial Accounting & Reporting
What is the Accrual Principle?The accrual principle, also known as the accrual concept, is a concept used in accounting that mandates the recording of accounting transactions in the actual period of occurrence, rather than the period of occurrence of related cash...
by TheBusinessProfessor | Feb 23, 2025 | Managerial & Financial Accounting & Reporting
What is the Accounting Standards Board (ASB)?The Accounting Standards Board (ASB) is a former organization that was responsible for drafting and issuing accounting standards in the United Kingdom. The ASB was located in London, England and was similar in function to...
by TheBusinessProfessor | Feb 23, 2025 | Managerial & Financial Accounting & Reporting
What is an Accumulated Adjustment Account?The Accumulated Adjustments Account (AAA) is a balance sheet account that contains the net (post-tax) retained earnings of a corporation that is taxed under Subsection S of the Internal Revenue Code. Profits of the S...
by TheBusinessProfessor | Feb 23, 2025 | Managerial & Financial Accounting & Reporting
What is the National Association of Accountants?National Association of Accountants (NAA) is a previous name for the organization that formed the Institute of Management of Accountant (IMA) in the United States. Its main objective is to manage the non-certified...
