Accounting dictionary

Learn about common accounting terms and phrases

A

  1. Accountancy
  2. Accounting equation
  3. Accounting principles
  4. Accounting system
  5. Accounting year
  6. Accounts payable
  7. Accounts receivable
  8. Accrual accounting
  9. Accruals
  10. Administration
  11. Aged debtors report
  12. Allowable expenses
  13. Amortisation
  14. Annual accounting VAT scheme
  15. Annual Investment Allowance (AIA)
  16. Annual report
  17. Appreciation
  18. Arbitrage
  19. Articles of association
  20. Assets
  21. Audit
  22. Audit trail
  23. Auditor's report
  24. Average cost

B

  1. B2B
  2. B2C
  3. Bad debt account
  4. Bad debt reserve
  5. Balance sheet
  6. Bank balance
  7. Bank fees
  8. Bank reconciliation
  9. Bank statement
  10. Bankruptcy
  11. Barriers to entry
  12. Barriers to exit
  13. Base period
  14. Benefits in kind
  15. Bond
  16. Bonus
  17. Book value
  18. Bookkeeping
  19. Break-even point
  20. Brick and mortar
  21. Bridging software
  22. Budget
  23. Business angel
  24. Business name
  25. Buying rate
  26. By-products

C

  1. Capital
  2. Capital allowance
  3. Capital Gains Tax
  4. Card machine
  5. Card payment
  6. Card reader
  7. Carrying cost
  8. Cash
  9. Cash accounting
  10. Cash accounting VAT scheme
  11. Cash budget
  12. Cash discount
  13. Cash flow
  14. Cash flow forecast
  15. Chargeback
  16. Chart of accounts
  17. Chip and PIN
  18. CIS
  19. Click and mortar
  20. Closing balance
  21. Cloud
  22. Cold-calling
  23. Collateral
  24. Commission
  25. Companies Act 2006
  26. Company tax
  27. Conservatism principle
  28. Consistency principle
  29. Consumer price index (CPI)
  30. Consumer Rights Act 2015 (CRA 2015)
  31. Contra account
  32. Contractor
  33. Contribution margin
  34. Copyright
  35. Corporation
  36. Corporation tax
  37. Cost
  38. Cost of goods sold
  39. Cost principle
  40. County court judgement (CCJ)
  41. Credit
  42. Credit card
  43. Credit note
  44. Credit rating
  45. Creditor
  46. Crowdfunding
  47. Currency
  48. Current assets
  49. Current liabilities
  50. Current ratio
  51. Customs Duty

D

  1. Dangerous asset
  2. Data Protection Act
  3. Debenture
  4. Debit
  5. Debit note
  6. Debt
  7. Debt ratio
  8. Debtor
  9. Deductible VAT
  10. Default
  11. Deferred expenditure
  12. Deferred revenue
  13. Deferred tax
  14. Delivery note
  15. Department
  16. Deposit
  17. Deposit Interest Retention Tax (DIRT)
  18. Depreciation
  19. Depreciation methods
  20. Digital signature
  21. Direct debit
  22. Director
  23. Directors' report
  24. Distance selling
  25. Dividends
  26. Double entry bookkeeping
  27. Drawings
  28. Due diligence

E

  1. E-commerce
  2. EBIT
  3. EBITDA
  4. Economic entity principle
  5. Economies of scale
  6. Economies of scope
  7. Electronic invoicing
  8. Ending inventory
  9. Entrepreneur
  10. Entrepreneurs' Relief
  11. EORI number
  12. Estimate
  13. Exchange gain or loss
  14. Excise Duty
  15. Exit strategy
  16. Expense
  17. Export VAT

F

  1. FIFO
  2. Finance charge
  3. Financial benchmarking
  4. Financial instrument
  5. Financial statement
  6. Finished goods
  7. Fintech
  8. Fiscal policy
  9. Fixed assets
  10. Fixed cost
  11. Fixed exchange rates
  12. Flat rate VAT scheme
  13. FOB destination
  14. FOB shipping point
  15. Franchising
  16. Freelancer
  17. Fringe benefits tax (FBT)
  18. Full disclosure principle

G

  1. Gains
  2. GDP
  3. GDPR
  4. General ledger
  5. Glocalisation
  6. Going concern principle
  7. Golden parachute
  8. Goodwill
  9. Gross profit margin
  10. Group consolidation
  11. GST

H

  1. Historical cost
  2. Household income

I

  1. IBAN
  2. IFRS standards
  3. Impairment
  4. Import duty
  5. Import VAT
  6. Imprest system
  7. Income statement
  8. Income Tax
  9. Individual Savings Account (ISA)
  10. Inflation
  11. Initial Public Offering (IPO)
  12. Insolvency
  13. Intangible assets
  14. Intellectual property
  15. Interest
  16. Inventory
  17. Invoice
  18. Invoice format
  19. Invoice number

J

  1. Job costing
  2. Joint products
  3. Joint venture
  4. Joint venture for VAT
  5. Journal

K

  1. Key figure

L

  1. Land and Buildings Transaction Tax
  2. Land Transaction Tax
  3. Legal tender
  4. Liabilities
  5. Lifetime Individual Savings Account
  6. LIFO
  7. Limited company
  8. Limited liability
  9. Liquidation
  10. Liquidity
  11. Loan
  12. Losses

M

  1. M-commerce
  2. Making Tax Digital
  3. Management accounting
  4. Management buyout (MBO)
  5. Manufacturer
  6. Markdown
  7. Market share
  8. Market value
  9. Markup
  10. Matching principle
  11. Materiality principle
  12. Memorandum of association
  13. Merchandise
  14. Mergers and acquisitions (M&A)
  15. Monetary policy
  16. Monetary unit principle
  17. Monopoly

N

  1. National Insurance
  2. Negative amortisation
  3. Net sales
  4. Net worth
  5. Nominal ledger

O

  1. OCR system
  2. Open items creditor
  3. Open items debtor
  4. Opening balance
  5. Outsourcing
  6. Overhead

P

  1. Packing note
  2. Par value
  3. Partial payment
  4. Partnership
  5. Patent
  6. Payback period
  7. PAYE
  8. Payment guarantee
  9. Payment on account
  10. Payment receipt
  11. Payroll
  12. Payroll tax
  13. Period end
  14. Periodic stock management
  15. Perpetual stock management
  16. Personal allowance
  17. PESTLE Analysis
  18. Petty cash
  19. Point of sale (POS)
  20. POS system
  21. PP&E
  22. Premium
  23. Prepayments
  24. Price elasticity
  25. Principal payment
  26. Process costing
  27. Product list
  28. Profit & loss statement
  29. Proforma invoice
  30. Project accounting
  31. Provision
  32. Purchase ledger control account
  33. Purchase order
  34. Purchasing power

Q

  1. Quantitative easing
  2. Quick ratio
  3. Quotation

R

  1. Raw materials
  2. Recurring invoice
  3. Reducing balance depreciation
  4. Refund or Reimbursement
  5. Reliability principle
  6. Reminder letter
  7. Remittance advice
  8. Research and Development (R&D)
  9. Reserves
  10. Residual value
  11. Retailer
  12. Retained earnings
  13. Return on investment (ROI)
  14. Revaluation
  15. Revaluation of creditors/debtors
  16. Revenue recognition principle
  17. Revenues
  18. Reverse charge
  19. Rounding

S

  1. Sale of Goods Act 1979 (SOGA)
  2. Sales
  3. Sales discount
  4. Sales ledger control account
  5. Sales turnover
  6. Salvage value
  7. Seasonality
  8. Self assessment
  9. SEPA
  10. Share
  11. Shareholder
  12. Shareholders' agreement
  13. Social enterprise
  14. Sole trader
  15. Spoilage
  16. Stakeholder
  17. Stamp duty
  18. Standard VAT accounting scheme
  19. Standing order
  20. Statement of account
  21. Statement of cash flows
  22. Statutory accounts
  23. Stock
  24. Stock management
  25. Stockholders' equity
  26. Straight-line depreciation
  27. Structures and Buildings Allowance (SBA)
  28. Subcontractor
  29. Subscription
  30. Subsidiary
  31. Superannuation
  32. Supply and demand
  33. Supply chain
  34. Suspense account
  35. SWIFT/BIC codes
  36. Switching costs
  37. SWOT analysis

T

  1. Tangible assets
  2. Tax accounting
  3. Tax codes
  4. Time period principle
  5. Time Value of Money (TVM)
  6. Touch ID
  7. Trade mark
  8. Transaction
  9. Trial balance
  10. Turnover

U

  1. UK GAAP
  2. Unbundling
  3. Underwriting
  4. Unique Selling Point (USP)
  5. Unique Taxpayer Reference (UTR)
  6. Useful life

V

  1. Variable cost
  2. Variance
  3. VAT
  4. VAT Division
  5. VAT exemption
  6. VAT group
  7. VAT number
  8. VAT registration
  9. VAT relief
  10. VAT report
  11. VAT return
  12. VAT taxable turnover
  13. VAT threshold
  14. Venture capital

W

  1. Wholesaler
  2. Work in process
  3. Working capital
  4. Write-off

Y

  1. Year end