September 2017
Beginner to intermediate
301 pages
7h 14m
English
Content preview from Financial Accounting
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8 Glossary
| Account | Summary of similar transactions in a format with two columns; the left side is called the debit side, the right side the credit side. |
| Acquisition costs | Measure for the initial measurement of acquired assets (§ 255 sect. 1). Acquisition costs are calculated as follows: |
| Purchase price or consideration | |
| − Price reductions | |
| + Incidental acquisition costs | |
| = Initial acquisition costs | |
| + Subsequent acquisition costs | |
| = Total acquisition costs | |
| All costs must be direct costs. No imputed costs are included. The acquisition process is completed when the asset is ready for operation. | |
| Accruals | Income and expense that have already occurred must be accrued independently of a payment. To do so, in the balance sheet, accrued liabilities ... |
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