Debitoor Dictionary

Accounting terms explained in a simple way

Over 150 Articles for Founders and Small Enterpreneurs

  1. Income statement
  2. Profit & Loss Statement

Gains - What are Gains?

Definition: A gain is any economic benefit that is outside the normal operations of a business.

A gain may be realised for many different reasons. An excess of money or fair value of property received on sale or exchange of an asset is considered to be a gain.

A gain may also be recongised when any type of financial instrument is sold for more than its purchase price.

Unrealised Gains

Unrealised gains are gains that are recognised, such as an increase in value of land, but not realised because the land has not been sold yet and is still an asset on the books of the company.