What is another way of saying "Interest earned on interest"?

Q: How do I find the total interest earned?

A: Interest earned:   Interest earned is the amount of interest earned over a specific period of time…

Q: What is meant by the concept of “potential savings (profits)”?

A: Profit is the total revenues less all costs and expenses. In other words, profit is the net earnings…

Q: Interest is earned as

A: Interest earned means the interest or other income actually earned on the investment of the Escrowed…

Q: What is an accrued expense? Provide an example.

A: Accrued expense: This is the expense incurred but not yet paid. It is treated as liability until the…

Q: How did you decide whether the situation is a profit or a loss?

A: A profit and loss (P&L) statement is a financial statement that details the revenues,…

Q: What is the meaning of economic value added (EVA)? What does it measure? Why is it important?

A: Economic value added ("EVA") measures a company's financial performance based on the excess wealth…

Q: What are some economic conditions that affectthe cost of money?

A: The economic conditions that impact the cost of money as follows: Fiscal deficits: The variance…

Q: Differentiate between the concepts of profit and interest with examples of each.

A: Profit:-Profit is the amount which one receives when all expenses get deducted from Revenue during a…

Q: rest that is converted into principal and thus, also earns interest?

A: Step 1   Simple interest is a fixed proportion of the principal amount borrowed or lent that is paid…

Q: What would be the difference between the CMO with and without the accrual class?

A: A collateral mortgage obligation is a financial instrument that is backed up by the mortgage to be…

Q: What are royalties ?

A: Royalties means payments  made for the purpose of use of property or license or some other important…

Q: What is the difference between capital expenditure and revenue expenditure? Give an example of each.

A:

Q: Is accrued interest an asset, liability or owner's equity?

A: Accrued interest refers to the amount of interest that is earned or incurred till the reporting…

Q: do the terms dehit and credit signify increase or decrease or can they signify either ? Explain

A: The effect of debit or credit on an account depends upon the nature of that account. It depends…

Q: What is meant by net income and net loss?

A: When the company has more amount of revenue it would have positive income whereas when company has…

Q: Net income *?

A: Looking the bottom line of the income statement, net income = P650000

Q: When is Profit and Loss Account made? Why?

A: Profit and loss account: profit and loss account also called an income statement. Every business…

Q: ________ is the interest earned on previously earned interest added to the principal.

A: Interest is the earned income on a given principal according to the given interest rate.

Q: explain the term force of interest as used in interest theory.

A: interest : it is the compensation that the borrower of the capital pays to the lender for use of it.

Q: What is gross profit? How do you calculate it?

A: Gross margin (gross profit): Gross margin is the amount of revenue earned from goods sold over the…

Q: What are financial obligations? How they can be overcome?

A: Liabilities:The claims creditors have over assets or resources of a company are referred to as…

Q: How does compound interest differ from simple interest?

A: Budgeting is a process to prepare the financial statement by the manager to estimate the…

Q: Why can we not invest net income? Explain with an example?

A: The net income is the net profit of the company earned during the period. The net income includes…

Q: The purpose of a statement of retained earning is to ?

A: Statement of Retained earnings is prepared to show the details of changes occurred in equity over an…

Q: What is the net income

A: Income refers to the revenue which is received by the business when goods and services are sold or…

Q: What are the definition criteria of an income and an expense?

A: Ans. Income is money what an individual or business receives in exchange for producing goods or…

Q: What is the definition of “holding gain or loss”?

A: Gains: Gains are the profits earned from non-operating activities of a business like sale of land,…

Q: what is asset? what is gross profit?

A: Financial statements: These are the financial reports prepared by an organization for a financial…

Q: Do you know how much tmes-Interest you have earned?

A: Pretax and before interest income may be used to pay the interest at a ratio of times the present…

Q: What are the revenue credits? Give an example?

A: Meaning of Revenue Credit:Revenue Credit refers to the payments received in advance for services…

Q: What do you mean by the term "income approach"?

A: The income approach is a real estate valuation technique that is computed by dividing the…

Q: What is a capital expenditure versus a revenue expenditure?

A:

Q: What does it mean when you have a debit balance of accrued interest income? Does a Debit balance…

A: The accrued expenses are the expenses incurred but not paid yet and hence are recorded as liability.…

Q: what is liability? what is equity?

A: Accounting:   Accounting is the art of recording, classifying and summarizing in a significant…

Q: What is accruals?

A: The answer is provided as follows:

Q: STATE THE SIMPLE INTEREST FORMULA.

A: Simple interest is used to compute the interest charged on a loan. The interest is computed on the…

Q: Differentiate between net income and net cash flow?

A: Net Income is the difference between revenue and expenses recognized in an accounting period.Net…

Q: Which are the total interest expense in the statement of profit or loss?

A: Interest expense is the finance cost which is deducted from operating profit i.e. earnings before…

Q: What is Asset and Liabilities?

A: The balance sheet is the financial statements of the business which displays the assets and…

Q: Is profit an asset or liability?

A: profit or income are generally classified under assets.

Q: What is expenditure? explain types of expenditure?

A: Payments or liabilities incurred in exchange for goods or services are referred to as expenditures.…

Q: Money is a savings or investment tools

A: Saving implies the setting aside of money that is not spent now for a future emergency or purpose.…