Category: Economics Dictionary

An accumulation unit is a type of measurement used in pooled investment funds, such as unit trusts or mutual funds, to represent an investor’s share in the earnings and reinvestment…

Accumulation is a process of gradually gathering or amassing wealth, capital, or assets over time. This concept is central to various economic theories and practices, encompassing the accumulation of physical…

Accumulated earnings tax (AET) is a tax imposed by tax authorities on corporations that retain earnings beyond a reasonable level, instead of distributing them as dividends to shareholders. This tax…

Accumulated depreciation represents the total amount of depreciation expenses that have been recorded against a fixed asset over its useful life. It reflects the decrease in the value of a…

Accrued liabilities are financial obligations that a company has incurred during a specific accounting period but has not yet paid. These are expenses that have been recognized in the company’s…

Accrued interest refers to the interest that has accumulated on a loan, bond, or other financial instrument over a specific period but has not yet been paid by the borrower…

Accrued income refers to income that has been earned but not yet received. It represents the revenues for goods delivered or services rendered where the payment has not yet been…

Accrued expenses are costs that have been incurred by a business during a specific accounting period but have not yet been paid. They are recognized in the financial statements for…

Accrued benefits refer to the benefits that have been earned or accumulated but have not yet been paid or received. This term is used mostly in the context of retirement…

The accrual rate refers to the rate at which interest, benefits, or expenses accumulate over some time. It is commonly used in the context of pension plans where it indicates…