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Technical terms

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Goodwill

The established reputation of a business regarded as a quantifiable asset and calculated as part of its value when it is sold.

Fri, 22 Mar, 2019 at 8:13 PM
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Gross profit

The profit a company makes after deducting the costs associated with making and selling its products, or the costs associated with providing its services.

Fri, 22 Mar, 2019 at 8:13 PM
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High-Low pricing

Where a firm charges a high price for an item and later when the item’s popularity has passed, sell it to customers by giving discounts or through clearance...

Fri, 22 Mar, 2019 at 8:13 PM
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Historic cost

A measure of value used in accounting in which the price of an asset on the balance sheet is based on its nominal or original cost when acquired by the comp...

Fri, 22 Mar, 2019 at 8:13 PM
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Impairment loss

The decrease in an asset's net carrying value that exceeds the future undisclosed cash flow it should generate. Net carrying value is an asset's acq...

Fri, 22 Mar, 2019 at 8:13 PM
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Implied terms

Implied terms are not explicitly stated, compared to express terms, because they are obvious to both parties to the contract.

Fri, 22 Mar, 2019 at 8:13 PM
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Imprest system

Form of financial accounting system, where a fixed amount is reserved, where after a certain period of time or when circumstances require, it will be replen...

Fri, 22 Mar, 2019 at 8:13 PM
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Index numbers

An economic data figure reflecting price or quantity compared with a standard or base value. The base usually equals 100 and the index number is usually exp...

Fri, 22 Mar, 2019 at 8:13 PM
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Indices

A statistical measure of changes in a representative group of individual data points. These data may be derived from any number of sources, including compan...

Fri, 22 Mar, 2019 at 8:13 PM
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Indirect costs

Costs that are not directly accountable to a cost object, like the transportation of labour to the working site, temporary roads, maintenance of records, pa...

Fri, 22 Mar, 2019 at 8:13 PM