Finance FAQs

How Does An Internal Audit Differ From An External Audit?
Internal audit nothing but the checking the product that you produced. External audit is checking your product by your customer. Here it means you may not find mistakes in your processes but a third man who comes and check the system he ma...... More »
What is the difference between Consignor and Consignee?
Consignor is the person who is the owner of the goods and who deliver the goods to the consignee. Consignee is the person who receives the goods and he just possesses the goods and not the owner. ...... More »
What is meant by liabilities?
Liabilities are what all u owe from the bank on notes payable or in other words it is: Liability=Asset-Owners equity What company owes that is liability. Liability = Asset-capital ...... More »
How does the payment mechanism work?
The open items of an account can only be cleared once you post an identical offsetting amount to the account. In other words, the balance of the items assigned to each other must equal zero. During clearing, the system enters a clearing document n...... More »
What do you understand by Open Item Managed Account?
Open item management ensures that all items that have not yet been cleared are available in the system. Only after every open item in a document is cleared can a document be archived. ...... More »
What do you mean by WCC?
Winter compensation from contributions. ...... More »
What is an IFA?
Institute of finance & accounts ...... More »
What do you understand by Intercompany Settlement?
A key functional area of SAP for Utilities that supports cross-company exchange of settlement data based on international standards such as EDI, XML, and Microsoft Excel. Intercompany data exchange manages data transfer between retailers...... More »
What is FBT (Fringe Benefit Tax)?
The tax payable on a non-salary benefit provided to an employee or an associate of the employee. The employer is liable to pay any FBT and may choose to recover the FBT amount from the employee. ...... More »
What are the effects of international accounting standards on accounting practices of developing nations?
Adoption of international accounting standards is extremely costly. Developing counties usually use accounting standards that are most beneficial to them (based on who they trade with to ease accounting for transactions) or just another country...... More »