Goods in possession of a party that is not the goods' owner or titleholder. From the accounting point of view, such goods have neither been sold nor are a part of their owner's inventory.
When products or services are resold by a third party. For example, giving clothes to a consignment shop for resale.
One time (non-recurring) refundable or non-refundable fee paid by a consumer to a utility or communication service provider for hooking up.
Letter sent by the auditors of a firm's to its debtors and creditors, requesting verification of the amounts of receivables and payables balances shown under their names in the firm's books. A positive confirmation asks for a reply whether the balance is correct or not; a negative confirmation asks ...
Non-true lease in which one or more of the following conditions are fulfilled: (1) Lessee acquires title to the leased item when a certain amount of rent has been paid. (2) Lease payments cover a period shorter than the economic life of the item with a provision for item's continued use by the ...
Assurance of an action, or earmarking of funds, that becomes actual commitment only when one or more specified conditions are fulfilled.
Documents with a shortened version of all of the company's financial statements.
Loan advanced to a business instead of to a consumer. Commercial loans are usually for a short-term (from 30 days to one year), secured (backed by a collateral) or unsecured, and are often advanced for financing equipment, machinery, or inventory. Banks usually require the commercial borrowers to ...
