A periodic increase in the value of an ASSET or LIABILITY originally issued, granted, or sold at a discount to FACE VALUE. In general, the contract will increase on a […]

An entry on an accounting book for a bond bought at a discount . This is done by straight line or constant interest method.

The process of adjusting the BOOK VALUE of a BOND purchased at a DISCOUNT to reflect the effects of a noncash payment of COUPON interest as maturity approaches. See also […]

How a company or asset grow due to the addition of an external source. It is used to expand company size.

An acquisition that will increase the companies EPS in the report period. It is because a company with a higher P/E buys a lower P/E company.

A general accounting method that reports income when it is earned and expenses when they are incurred. See also CASH BASIS.

Accounting based on the accrual principle . Revenue is recorded when earned as is with expenses.

(1) A TRANCHE of a COLLATERALIZED MORTGAGE OBLIGATION that pays no COUPON interest or PRINCIPAL until all other tranches have been redeemed; this protects investors holding other tranches from PREPAYMENTS. […]

A debt security that accrues interest on specific days at a specific rate that stays above or below a percentage.

A day when a triggered liability has occured.

To extend the maturity date or an obligation until the obligor must pay.

A concept that represents the time between sales and purchases as well as collection of payment. It is the actual performance of a business.AKA accural concept. Refer to accounting concepts […]

A short term liability during an accounting period that is not recorded for payment.They are estimated by experience. It is not taken on a report to fit the accural basis […]

Able to increase, such as to gain interest that is then added to the original capital.

The total pension on a date whether or not its available to the employee. They are regulated based on the rules of the pension plan , service date, and salary.

A bond issued to investors who want more profit without high risk. The interest payment will be issued when the bond matures.

The compensation that is awarded and is due and payable.

The lessening of value because its ability to render a service has decreased.

A dividend that has been earned by stockholders but is not yet payable.

An expense incurred but no payment has come in during the period. Shown on a balance sheet as a short term liabilty. AKA accrued liablities.

A benefit credited to a plan based on years of service.

Earnings in the accounting period but that will be recieved in another period.

The interest on a BOND or LOAN that has been earned but not yet paid. Interest payable/receivable accumulates between COUPON payment periods; once a periodic interest payment is made, accrued […]

Any loss for the accounting period that is charged in another period.

Profit earned in current period but will be collected in the next period. AKA unrealized revenue.