--%>
Assignment Help - homework help

Adjunct account

 

An account in financial reporting that increases the book value of a liability account. An adjunct account is a valuable account from which credit balances are added to another account. For example, if a company issue bonds, the unauthorized premium on bonds payable account (sometimes called bond premium) is an adjunct account because its credit balance is added to the bonds payable account. Since a liability account's normal balance is a credit balance, the premium account is an adjunct account (its credit balances are added to a separate accounts). This is in contrast to a contra account, as a discount on bond payable account would result in a debit to a liability account. 

 

 

 

   Related Questions in Managerial Accounting

  • Q : Define Expense Expense : The Outflow or

    Expense: The Outflow or other using up of resources or acquiring liabilities (or a combination of both), the advantages from which exert to an entity's operations for the present accounting period, however they do not expand to future

    		•
  • Q : Bonds payable A form of long-term debt

    A form of long-term debt that appears  in the liabilities section of the balance sheet. A company sells bond as a way to borrow large amount of cash. The buyer pays for the bond and receives regular interest payment, annually or semiannually, for the duration of

    		•
  • Q : Management Accounting Project Please

    Please let me know the cost of getting this assignment completed?

    		•
  • Q : Describe fluctuating capital of partners

    Describe fluctuating capital of partners? Answer: Partner‘s capital is stated to be fluctuating if capital modifies with every transaction in the capital accou

    		•
  • Q : Explain Operating Budgets Operating

    Operating Budgets: It is a financial document which aids a business in making significant decisions regarding its actions. An operating budget does not contain instant impact on the actual state of the business and exhibits only future projections. Bu

    		•
  • Q : Main users of the accounting information

    Briefly list out the main users of the accounting information which are related to the business?

    		•
  • Q : Cash flows from operating activities

    The first section of the statement of cash-flow. Cash flows from operating activities include transactions (involving cash) that relate to the normal busi- ness activities of the entity. Cash-flows in this section usually involve cash and other current asset or curren

    		•
  • Q : Tax form a deadweight loss Why does a

    Why does a tax form a deadweight loss? A tax forms deadweight loss by artificially increasing price above the free market level, therefore reducing the equilibrium quantity. This reduction in demand decreases consumer as well as producer surplu

    		•
  • Q : Management accounting and financial

    What does the difference between management accounting and financial accounting suggest?

    		•
  • Q : What is Service What do you mean by

    What do you mean by Service: It is an intangible product or task rendered directly to a client or customer.

    		•