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According to Hume, "For my part, when I enter most intimately into what I call myself, I always stumble on some particular perception or other, of heat or cold, light or shade, love or hatred, pain or pleasure."
Adjusting Entries
Financial records entered at the termination of an accounting period, aimed at allocating profits and outlays to the correct period.
Pretax Income
The income earned by a company before deducting taxes, representing the company's profitability after all expenses except taxes.
Accrued Expenses
Liabilities (payables) created when expenses are incurred, but cash will be paid in the future; created at end of period during the adjustment process to reflect the amount of expense incurred that the company will pay in the future.
Depreciation Expense
Distributing the expense of a physical asset throughout its lifespan.
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