The Penguin Dictionary of Accounting (Penguin Reference Books S.) - Softcover

Nobes, Christopher

Softcover

ISBN 10: 0140514880 ISBN 13: 9780140514889

Publisher: Penguin, 2002

Synopsis

A new addition to the Penguin reference list, THE PENGUIN DICTIONARY OF ACCOUNTING focuses on financial reporting with coverage of the relevant terms in tax, auditing and management accounting. The British-based book includes important US differences and analyses all terms used in International Accounting Standards, providing a broad international outlook. THE PENGUIN DICTIONARY OF ACCOUNTING is an essential read for the student and businessperson alike.

About this title

From the Publisher

Some sample entries:

CASH FLOW

Sometimes used to refer very loosely to the amount of cash coming into or out of a business in a particular period. However, it can be used as a more precise accounting term, particularly in North America, to refer to net profit with depreciation charges added back. The latter will have been deducted in the calculation of the former, but is not, of course, a cash payment of the period in question.

NET ASSETS

The worth of a business in accounting terms, as measured from its balance sheet, i.e. it is the total of all the assets, less the liabilities that are owed to outsiders. Naturally, this total equals the shareholders' equity.

However, in reality, a business is nearly always worth more than its net assets, because accountants use historical cost accounting as a measurement basis, and because important assets, such as the loyalty of customers, are excluded due to conservatism and the money measurement convention. Thus, the market capitalization of a company will nearly always be greater than its accounting net assets.

VALUE ADDED TAX

A multi-stage sales tax paid by suppliers but borne, at least partly, by consumers in terms of higher prices. Each time that goods or services move from one supplier to the next, or to the final customer, the tax is levied. However, in general, the tax to be paid by a supplier to the tax authorities can be reduced by the tax suffered by the supplier in his capacity as a purchaser.

Such a tax is in operation throughout the EU. In the UK, a few goods are exempt supplies and others are zero-rated supplies.

About this edition

• Publisher: Penguin
• Publication date: 2002
• ISBN 10: 0140514880
• ISBN 13: 9780140514889
• Binding: Paperback
• Number of pages: 320