Posting accounting definition explains the recording of the double-entry transaction that is first noted in the form of a journal entry and then posted again in respective ledger accounts or sub-ledgers. However, there are certain rules and format that needs to be followed which is explained with a help of an example.
Tax shield approach is termed as the deduction that a business or a corporation can make in its taxable income to reduce their tax burden/obligation. This activity can be achieved by using various expenses like medical, interest, depreciation etc that are tax-deductible. They impact the profits or net income which decreases the tax liability.
Introduction of price level accounting Price level Accounting is also termed inflation accounting. It refers to the type of financial accounting that seeks to allow for changes in the currency during the various periods of inflation or recession in the economy. Price level Accounting converts the values using index numbers from depreciated costs to current … Read more