What is absolute Advantage in respect of Economics?-What is acceptance credit?-What is Accelerated Depreciation?-What is account?-What is Account Payable?-What is Account Receivable?-What is Accounting Exposure?-What is Accounting Insolvency?-What is Accrual basis in Accounting?


Q. What is absolute Advantage in respect of Economics?

A: A country has an absolute advantage if its output per unit of input of all goods and services produced is higher than that of another county.


Q. What is acceptance credit?

A: Clean credit facility for funding accommodation finance by drawing of a term bill on a bank under an agreed line of credit, whereby the bank on which the bill is drawn will accept it, after which it can be discounted by any bank and so turned into cash. This can also termed as arranged credit.  


Q. What is Accelerated Depreciation?

A.  Any depreciation method that produces larger deductions for depreciation in the early years of a project’s life. Accelerated cost recovery system (ACRS), which is a depreciation schedule allowed for tax purposes, is one such example.  

Q. What is account?

A. Formal record that represents, in words, money or other unit of measurement, certain resources, transaction or other events that result in changes to those resources and claim.


Q. What is Account Payable?

A. Amount owed to a Creditor for delivered the goods or completed the services.

Q. What is Account Receivable?

A. Claim against a debtor for an uncollected amount, generally from a completed transaction of sales or services already rendered.  


Q. What is Accounting Exposure?

A. The change in the value of a firm’s foreign currency denominated accounts due to change in exchange rates.  


Q. What is Accounting Insolvency?

A. Total liabilities exceed total assets. A firm with a negative net worth is insolvent on the books.   Q. What is Accrual basis in Accounting? A. Method of accounting that recognizes revenue when earned, rather than when collected. Expenses are recognized when incurred rather that when paid.

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