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 Accounting  |  Question 51 of 178    Print  
What is purchasing order?
What is vendor?
What is sarbanes-oxley act?
what is debit and credit note?
What is basic accounting principles?
what is dual aspect concept?
what is depreciation? and how many types and details?
what is cash flow and funds flow?
what is capital gain?

  
Total Answers and Comments: 4 Last Update: January 31, 2009     Asked by: T.K.B.Srinivasan 
  
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 Best Rated Answer
Submitted by: vasudeo007
 

Answer 1: Purchasing order means order given to purchase anything.

2. Vendor means the one who sells

3. Sarbanes-oxley act.... I don't know.

4. debit and credit note: while making entry in your books of accounts you need the documentary voucher. So the voucher made stating what entry and why it is made is
called debit/credit note.

5. basic accounting principles: search on google

6. dual aspect concept: each and every transaction has two sides.
example: when you buy a shirt, then shirt comes to you while cash leaves you

similarly if you sell the same shirt to anyone then cash comes to you while shirt leaves you.

recording both aspects of coming and going is called dual aspect concept

7. depreciation and its types: Depreciation means reducing/lowering value of an asset because of its use. Like machines/vehicles gets rusty/slow because of consistent use.

Types of depre: straight line method and reducing balance method

straight line method: writing off the value of the asset in equal instalments
reducing balance method: writing off the value of the asset on reducing balance

principle is same as straight interest and compounding interest

There is another thing called "Amortisation". which means that ceertain assets are not assets really and cannot be subject to depreciation so writing off their value is called amortisation.
Example: Intellectual Property Rights, Patent Rights, querries and mines (coal mine etc), etc.

8: cash flow and funds flow: cash flow means direct entry of cash in your business and exit of the same
funds flow means entry of funds (cash funds or non cash funds) and their exit
non cash funds may mean rise in current assets or fall in current liabilities which was not due to any cash movement

9: capital gain: when any capital asset is sold and it is sold at a higher price than its book value then that extra gain is called capital gain.
The word profit generally means revenue profits. While capital gain is generally received infrequently

Vasudeo



Above answer was rated as good by the following members:
ajspalia
June 20, 2007 07:43:30   #1  
deepa        

RE: What is purchasing order?What is vendor?
Purchase Order are pre-transaction document by which parties agree to purchase
at specified terms.
Vendor is a person who sell goods.

 
Is this answer useful? Yes | No
October 16, 2007 03:03:08   #2  
honey_2132 Member Since: December 2006   Contribution: 2    

RE: What is purchasing order?What is vendor?
A purchase order (PO) is a commercial document issued by a buyer to a seller indicating the type quantities and agreed prices for products or services that the seller will provide to the buyer. Sending a PO to a supplier constitutes a legal offer to buy products or services
 
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August 18, 2008 23:13:13   #3  
vasudeo007 Member Since: July 2008   Contribution: 64    

RE: What is purchasing order?What is vendor?What is sarbanes-oxley act?what is debit and credit note?What is basic accounting principles?what is dual aspect concept?what is depreciation? and how many types and details?what is cash flow and funds flow?what

Answer 1: Purchasing order means order given to purchase anything.

2. Vendor means the one who sells

3. Sarbanes-oxley act.... I don't know.

4. debit and credit note: while making entry in your books of accounts you need the documentary voucher. So the voucher made stating what entry and why it is made is
called debit/credit note.

5. basic accounting principles: search on google

6. dual aspect concept: each and every transaction has two sides.
example: when you buy a shirt then shirt comes to you while cash leaves you

similarly if you sell the same shirt to anyone then cash comes to you while shirt leaves you.

recording both aspects of coming and going is called dual aspect concept

7. depreciation and its types: Depreciation means reducing/lowering value of an asset because of its use. Like machines/vehicles gets rusty/slow because of consistent use.

Types of depre: straight line method and reducing balance method

straight line method: writing off the value of the asset in equal instalments
reducing balance method: writing off the value of the asset on reducing balance

principle is same as straight interest and compounding interest

There is another thing called "Amortisation". which means that ceertain assets are not assets really and cannot be subject to depreciation so writing off their value is called amortisation.
Example: Intellectual Property Rights Patent Rights querries and mines (coal mine etc) etc.

8: cash flow and funds flow: cash flow means direct entry of cash in your business and exit of the same
funds flow means entry of funds (cash funds or non cash funds) and their exit
non cash funds may mean rise in current assets or fall in current liabilities which was not due to any cash movement

9: capital gain: when any capital asset is sold and it is sold at a higher price than its book value then that extra gain is called capital gain.
The word profit generally means revenue profits. While capital gain is generally received infrequently

Vasudeo


 
Is this answer useful? Yes | NoAnswer is useful 1   Answer is not useful 0Overall Rating: +1    
January 31, 2009 04:53:50   #4  
dinanath Member Since: January 2009   Contribution: 1    

RE:what is cash flow and funds flow?

Changes in working capital due to Non Current Transaction is called Fund Flow and Changes in Working capital due to current and non current transaction is called Cash Flow.


 
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