Other Topics
Honorarium An honorarium is a voluntary payment given to a person for services delivered. These are generally acts or services for which customs and traditions disallow a price to be set. Payments are made just as a gesture to thank or appreciate the person for rendering the services. The honorarium is not legally required. […]
Grouping and Marshalling Grouping In accounting, Grouping refers to presenting similar items with similar qualities together. They are shown under a common head inside financial statements. For example, let’s say a company has 200 different creditors that it deals with. All of them will not be shown separately in financial statements, only the net total of all […]
Inflation Accounting As the name suggests, accounting techniques that are used during the times of high inflation are called Inflation Accounting. It is widely used to counter the effect of historical cost accounting at the times of high inflation. It is also called price Level Accounting. Inflation has an effect on prices, but corporate finances also become vulnerable […]
Bank Reconciliation Statement (BRS) The word reconcile means “making one thing consistent with another”. In case of business, a Bank Reconciliation Statement or BRS refers to a statement which is made to reconcile bank balance shown on the bank statement or passbook with the bank balance shown in the cash book. This helps a business to keep control […]
Contra Entry In the dual entry accounting system, a contra entry is an entry which is recorded to reverse or offset an entry on the other side of an account. If a debit entry is recorded in an account, it will be recorded on the credit side and vice-versa. Debit and credit aspects of a single […]