Current Ratio
The ratio of current assets to current liabilities. This ratio is an indicator of a company's ability to meet its current obligations.
OpenFinancial Dictionary
Accounting & Finance Terms (English)
Current- Non Current Method
It is a method of accounting for translating the accounts of current assets and accounts of current liabilities from a foreign currency to a local currency according to the current exchange rate and t...
OpenCybersecurity Costs
Expenses related to protecting computer systems, networks, and data from digital attacks.
OpenData Analytics in Accounting
The process of examining accounting data sets to draw conclusions about the information they contain.
Opendebt to total asset ratio
Total liabilities divided by total assets. The percentage refers to the ratio of assets funded from debt, if the ratio is high, which means that the company has a leverage.
OpenDeferred revenue
Revenue received before providing the related goods or services.
OpenDeferred Tax
Deferred tax represents future tax consequences of temporary differences between the carrying amounts of assets and liabilities and their tax bases. It can be a deferred tax asset or liability.
OpenDeferred tax
Income tax payable or recoverable in future periods due to temporary differences.
OpenDeferred tax asset
Income tax recoverable in future periods.
OpenDeferred tax liability
Income tax payable in future periods.
Opendenominator
the number put the down in dividend palce
Opendepletion
Depletion or depletion is a process used to allocate the cost of assets of natural resources to the beneficial accounting periods. For example, a company pays the rights to extract raw materials for a...
Opendepletion expense
Amount of depletion charged to expense on the income statement for the period indicated in its heading. The amount is also credited to the contra asset account Accumulated Depletion.
OpenDEPOSIT
1. Money placed into a bank account or given as a security for a transaction. 2. A sum payable as a first installment on the purchase of something. 3. A returnable sum paid to cover possible loss or d...
OpenDepreciation
The process used to allocate the cost of a long-lived property to the accounting periods benefited
OpenDepreciation
The allocation of the cost of a tangible asset over its useful life.
OpenDepreciation
Depreciation is the systematic allocation of the cost of a tangible asset over its useful life. It reflects wear, usage, or reduction in value of assets such as equipment, vehicles, and buildings. Dep...
OpenDepreciation
Depreciation is the systematic allocation of the cost of a tangible asset over its useful life.
OpenDerivative instrument
A financial instrument whose value is derived from an underlying asset.
OpenDetection risk
The risk that the auditor’s procedures will not detect a material misstatement.
OpenDigital Assets
Assets that exist only in digital form, including cryptocurrencies, digital tokens, and other blockchain-based assets.
OpenDigital Tax
Taxes levied on digital services or digital business models.
OpenDisclaimer of opinion
Issued when the auditor cannot obtain sufficient appropriate evidence.
OpenDouble-Entry Bookkeeping
A bookkeeping system where every entry to an account requires a corresponding entry to a different account.
OpenDouble-Entry Bookkeeping
A bookkeeping system where every entry to an account requires a corresponding entry to a different account.
OpenE-invoicing
The electronic exchange of invoice documents between suppliers and buyers.
OpenEarned Surplus
Retained earnings means retained earnings are profits that have been withheld during financial periods and not disbursed to partners or shareholders
OpenEarnings per Share (EPS)
Earnings per share measures the amount of profit attributable to each ordinary share. It is calculated by dividing profit attributable to ordinary shareholders by the weighted average number of shares...
OpenEconomic event
Any event that directly affects the financial position of the company by changing in assets, liabilities, property rights, revenues, or expenses. Example: A company pay office rent check affects the b...
OpenEconomic substance
Requirement that entities have adequate operations in the jurisdiction.
OpenEquity
Equity is the residual interest in the assets after deducting liabilities.
OpenEquity
Equity represents the residual interest in a company’s assets after deducting its liabilities. It reflects the owners’ share in the business and includes capital, retained earnings, and reserves. Equi...
OpenEquity Method
The equity method is a method of accounting for recognizing changes in profits or losses through the difference between equity between two time periods.
OpenEquity-settled share-based payment
A transaction where an entity receives goods or services in exchange for equity instruments.
OpenEscrow
escrow Money set aside for a specific purpose. An individual's monthly mortgage payment might include $300 per month for the real estate taxes due at the end of the year. The $300 is said to be put in...
OpenESG Reporting
Environmental, Social, and Governance reporting that measures a company's sustainability and ethical impact.
OpenEthics
Ethics Process of determining how one should hold the interests of various stakeholders, taking into account moral values/principles.
OpenExempt Supply
An exempt supply is a supply not subject to VAT, and no VAT is charged to the customer.
OpenExpected credit loss
Weighted credit loss based on probability of default under IFRS 9.
OpenExpense
An expense is an outflow or consumption of resources incurred to generate revenue.
OpenExpense
An expense is a cost incurred by the company to operate the business or generate revenue. Expenses reduce equity and include items such as salaries, rent, utilities, and depreciation. Expenses are rec...
OpenExternal Audit
External audit is an audit performed by an independent auditor outside the organization.
OpenExternal events
exchange between the company and a separate economic entity.
OpenFair Value
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. It reflects current marke...
OpenFair value
The price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants.
OpenFair value hierarchy
A framework categorizing fair value measurements into Levels 1, 2, and 3.
OpenFASB Financial Accounting Standards Borad
Financial Accounting Standards Board The Financial Accounting Standards Board is a private standard-setting body whose primary purpose is to establish and improve Generally Accepted Accounting Princip...
OpenFiixed Assets Turnover
"FIXED ASSET TURNOVER measures management's ability to generate revenues from investments in fixed assets. FAT considers only the firm's investment in property, plant and equipment and is extremely im...
OpenFinancial asset at amortised cost
A financial asset held to collect contractual cash flows.
OpenFinancial asset at fair value through OCI
An asset measured at fair value with changes recognized in OCI.
Open