Tracking Financial Performance Standards of ... - Sa-Dhan

Glossary of Financial TermsTermUnearned RevenueUnrestricted FundsVariable CostsVertical AnalysisVoucherVoucher RegisterVoucher SystemVoucherWageWorking CapitalWrite offYieldDefinitionAnother name for deferred revenue, usually applying to amounts received ayear or less in advance. Revenue received in advance of its being earned.Resources of a not-for-profit entity that have no restrictions as to use or purpose.(See Fund Accounting and Restricted Fund.)Costs that vary in total as production varies, but remain the same per unitregardless of how many units are produced.The expression of each item in a company's financial statement as a percent ofa base figure, in order to see the relative importance of each item. For thebalance sheet, the base is total assets; for the income statement, the base is netsales. The percentage analysis of component parts in relation to the total ofthe parts in a single financial statement.A method of accounting for cash payments in which all payments are authorizedin advance and kept track of internally through five components: voucher,voucher register, unpaid voucher file, check register, and paid voucher file.The journal in which all vouchers are recorded.A method of accounting for cash payments in which all payments are authorizedin advance and kept track of internally through five components: voucher,voucher register, unpaid voucher file, check register, and paid voucher file.Records, methods, and procedures employed in verifying and recordingliabilities and paying and recording cash payments.A document that serves as evidence of authority to pay cash.A fixed hourly rate paid to an employee.Technically, means current assets and current liabilities. The term is commonlyused a synonymous with net working capital. The term often also is used torefer to all short-term funding needs for operations (excluding debt serviceand fixed assets). A company's investment in current assets that are used tomaintain normal business operations. Net working capital, which is the excessof current assets over current liabilities, is also interchangeable with workingcapital. Both reflect the resources in circulation to meet operating needs andobligations as they come due. Excess of current assets over current liabilities.The excess of a firm's current assets over its current liabilities. A strong workingcapital means that the firm is likely to be able to carry on its current operations.The excess of total current assets over total current liabilities at some point intime.When an investment, such as a loan, becomes seriously delinquent or in defaultand is determined to be uncollectible, the lender may choose to charge theoutstanding investment amount as an expense or a loss.Return on an investment an investor receives from dividends or interestexpressed as a percentage of the cost of the security.