In Accounting,students Talk About LIFO and FIFO;these Are Two Examples

question 72

Short Answer

In accounting,students talk about LIFO and FIFO;these are two examples of shortcuts called _________ that many in the field take to talk in code.

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Definitions:

Accumulated Depreciation

The total amount of a tangible asset's cost that has been allocated as depreciation expense since the asset was put into use.

Equipment

Tangible assets used in the operation of a business to produce goods or provide services, not intended for sale.

Revenue Expenditure

Costs that are expensed in the income statement in the period in which they are incurred, typically related to the day-to-day operating expenses.

New Engine

A recently manufactured or developed engine, often implying improvements or advancements over previous models.