Reserve: Meaning, type, Accounting treatment

Reserve meaning, types - feature image

Reserve:- A reserve refers to that proportionate amount of net profit or surpluses which is retained for the future payments. In other words, the retention of the profit which is not for any known liability. According to William Pickles. “Reserve Read More …

Provision in accounting: Meaning, Types, Treatment

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A provision in accounting:- The provision in accounting means that amount which is charged against Profit or loss account(Income statement) for some uncertain amount of known liability which will be incurred in the near future. To calculate the true profit or Read More …

Bank Reconciliation Statement | Process | Illustration |

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Bank Reconciliation Statement: Bank Reconciliation Statement in short BRS, is an explanation of the difference between bank balance as per cash book and bank balance as per Passbook(Bank statement). Sometimes, The bank balance as per cash book and passbook do not Read More …

Adjusting Entries | Explanation | Example

Adjusting Entries Feature Image - Adjusting Entries | Explanation | Example

Introduction to Adjusting Entries According to an accrual concept of accounting we have to record all the income and expenses in the financial statement when they occur not when they paid. So, To perform the accrual concept we have to pass Adjusting Read More …

Trial Balance | Explanation | Methods | Examples

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Trial Balance :  Trial Balance is the statement that shows the total balance amounts of all the ledger accounts for the specific period i.e. for a month, for a quarter, for a six month, and for a whole year. “We Read More …