--%>

Business term as part of our Accounting

"Business term is the part of our Accounting". Illustrate this statement.

E

Expert

Verified

Business term is the part of our Accounting.  We can state business with the following way:

Business is all actions whose purpose is to earn money. A teacher teaches his own son or daughter is not business since he is not teaching his child for the aim of earning money. However similar teacher executes his private coaching center for offering coaching services. This coaching center is his business since he wants to earn money from that coaching center. He takes risk of his investment and as well interested to acquire high return on his investment.

For doing business, businessman has to give services or goods to customers. After taking risk, doing hard-work and giving goods or services, businessman gets return in the form of gain. However it is his risk. At time, he can too suffer loss in such activities.

   Related Questions in Financial Accounting

  • Q : What are Bad Debts What are Bad Debts

    What are Bad Debts and what are their influence on the value of debtor?

  • Q : Interest rate parity for determination

    Describe the allegations of interest rate parity for the determination of the exchange rate.

  • Q : Explain Agricultural business Explain

    Explain the term Agricultural business in term of Accounting?

  • Q : Balance sheet A listing of the

        A listing of the liabilities, assets, and equity of an entity at a point in time, the end of a month, or quarter, or year. It is one of the four financial statements required in a full financial report. The balance sheet gives the reader what the entity owns (assets)

  • Q : Ppe Question 3 The following

    Question 3 The following information is taken from the financi al statements of an entity: 20x6 20x5 Property, plant and equipment $4,100,000 $3,600,000 Accumulated depreciation (1,400,000) (1,050,000) Depreciation expense 650,000 Gain on disposal of PPE 35,000 The asset disposed of had

  • Q : CASH AND ACCRUAL BASIS OF ACCOUNTING

    Using the data below,prepare abbreviated income statements for the year 2003 and 2004 on cash basis. Cash receipts from sales: 2003 2004 2005 on 2003 sales $295,000 $160,000 $30,000 On 2004 sales 0 355,000 90,000 On 2005

  • Q : Maximum factors Explain the Maximum

    Explain the Maximum factors influences and involvement which will depend on the performance and success of the employees ?

  • Q : Comprehensive Problem in Accounting

    Accounting Comprehensive Problem The case involves one accounting cycle (regular journal entries, adjusting journal entries, preparing financial statements,

  • Q : Difference between the periodic and

    What is the main difference between the periodic and perpetual process, how will you record it in your note-book?

  • Q : Computing opportunity cost of producing

    Country C is able to generate seven pounds of food or four yards of textiles per unit of input. Calculate the opportunity cost of producing food rather than textiles.  Also, compute the opportunity cost of producing textiles rather than food.