Differences
Difference Between Fixed Assets and Intangible Assets
Introduction
Assets include a wide range of things, both tangible and intangible. They can be things like cash, accounts receivable, furniture, machinery, patents, logos, and...
Difference Between Fixed Capital and Working Capital
Fixed Capital vs Working Capital
Fixed Capital is the money invested by a business or its owners in long-term assets. Such assets are essential for...
What is the Difference Between Revenue and Profit?
Revenue Vs Profit
Revenue - is the excess of revenue earned over expenditure incurred by a business for a given accounting period. It increases the total...
Difference Between Depreciation and Provision for Depreciation
Depreciation Vs Provision for Depreciation
Depreciation is an accounting process of distributing the cost of an asset over its estimated useful life as per the...
Difference Between Bad Debts and Doubtful Debts
Bad Debts Vs Doubtful Debts
Bad debts & doubtful debts are two terms that are often considered synonymous, but there is a fine line between...
Difference Between Revaluation Account and Realisation Account
Revaluation Account Vs Realisation Account
Revaluation Account
It is a nominal account used to distribute profit or loss originating from re-assessment of the book value of...
What is the Difference Between Discount and Rebate?
Discount vs Rebate
Discount and rebate are commonly used terms in today's dynamic markets, especially in the e-commerce world. Rebates and discounts are distinct forms...
What is the Difference Between Loss and Expense?
Loss Vs Expense
Loss - is the excess of expenditure incurred over revenue earned by a business for a given accounting period. It reduces the...
What is the Difference Between Sales Book and Sales Account?
Sales Book Vs Sales Account
Sales Book - It is a subsidiary book of accounting used to record all goods sold on credit. One of...
What is the Difference Between Purchase Book and Purchase Account?
Purchase Book vs Purchase Account
Purchase Book - It is a subsidiary book of accounting used to record all goods purchased on credit. One of...
What is the Difference Between Debtors and Creditors?
Debtors vs Creditors
While purchasing goods on credit a buyer may not make the payment immediately instead both the seller and buyer may enter into...
Difference Between Current Assets and Liquid Assets
What is the Difference Between Current Assets and Liquid Assets?
Current Assets and Liquid Assets are both used to assess a company's cash position and...
What is the Difference Between Ledger and Trial Balance?
Difference Between Ledger and Trial Balance
Although ledger and trial balance are both integral parts of the same accounting cycle, there is still a considerable difference between...
What is the Difference Between Carriage Inwards and Carriage Outwards?
Carriage Inwards Vs Carriage Outwards
Carriage inwards and carriage outwards are two different types of expenses incurred by a company while buying and selling goods....
What is the difference between Journal Entry and Journal Posting?
Difference Between Journal Entry and Journal Posting
Journal entry is recorded in a journal which is also known as the primary book of accounts, this...
Difference between Depreciation, Depletion and Amortization
Depreciation Vs Depletion Vs Amortization
All assets with an estimated useful life eventually end up being exhausted. Different types of assets such as fixed, intangible &...
Difference Between Bill of Exchange and Promissory Note
Bill of Exchange Vs Promissory Note
To pay for credit sales a buyer may make a written promise in form of a promissory note or...
What is the Difference Between Depreciation and Amortization?
Depreciation Vs Amortization
One of the main principles of accrual accounting is that an asset's cost is proportionally expensed based on the period over which...
What is the Difference Between Capital Receipts and Revenue Receipts?
Capital Receipts vs Revenue Receipts
There are two types of amounts received by a firm during its regular course of business, Capital Receipts and Revenue...
What is the Difference between Current Assets and Current Liabilities?
Current Assets Vs Current Liabilities
Assets and liabilities are classified in many ways such as fixed, current, tangible, intangible, long-term, short-term etc. While analyzing the balance...
What is the difference between Profit and Loss & Profit and Loss Appropriation Account?
Profit and Loss Vs Profit and Loss Appropriation Account
Profit and loss appropriation account is an extension of the profit and loss account itself, however,...
What is the Difference Between Revenue and Profit?
Revenue vs Profit
Revenue and Profit are terms often used interchangeably however they are different and are calculated in a different way before being shown...
What is the Difference Between Net Profit and Operating Profit?
Net Profit VS Operating Profit
The term "profit" is divided into different types according to the source of benefit and the stage at which it...
What is the Difference between Gross Profit and Operating Profit?
Gross Profit Vs Operating Profit
Gross Profit
The word Gross means “before any deductions”. This implies that profit before any deductions is called Gross profit. It is also called...
What is the Difference Between Cost and Management Accounting?
Cost Accounting Vs Management Accounting
The difference between cost and management accounting is very important to understand as both of them serve different purposes and...
What is the Difference Between Financial Accounting and Cost Accounting?
Financial Accounting VS Cost Accounting
The difference between financial accounting and cost accounting is very important to understand as both of them serve different purpose...
What is the Difference Between Debit Note and Credit Note?
Debit Note Vs Credit Note
Debit and credit notes are an important part of today's business culture as corporations have grown large and so have...
What is the Difference Between Income Statement and Balance Sheet?
Income Statement vs Balance Sheet
An Income statement and a Balance sheet are two significant financial statements in accounting, and both statements have their own...
What is the Difference Between Fixed Assets and Current Assets?
Fixed Assets Vs Current Assets
Basis
Fixed Assets
Current Assets
Definition
Fixed assets are assets that last for a long time and are acquired for continuous use by an...
What is the Difference Between Balance Sheet and Trial Balance?
Balance Sheet Vs Trial Balance
Balance Sheet
1. It is a statement that shows a detailed listing of assets, liabilities, and capital demonstrating the financial condition of...
What is the Difference Between Journal and Ledger?
Journal vs Ledger
During the accounting cycle, there are two important steps to be followed; recording journal entries & preparing ledger accounts. They are related,...
What is the Difference Between Trade Discount and Cash Discount?
Trade Discount vs Cash Discount
Discounts play an important role in business transactions. They have has been part of business transactions since the beginning of...
What is the Difference Between Gross Profit and Net Profit?
Gross Profit Vs Net Profit
Profit is the friendliest term to the owner(s) of a business, however, during the life-cycle of a business, the term...
What is the Difference Between Financial Accounting and Management Accounting?
Financial Accounting VS Management Accounting
The difference between financial accounting and management accounting is very important to understand as both of them serve different purposes...
What is the Difference Between Finance and Accounting?
Finance VS Accounting
Accounting involves the creation, management, summation & communication of day-to-day transactions of a business ultimately leading to the preparation of financial statements....
What is the Difference Between Reserves and Provisions?
Reserves Vs Provisions
Reserves and provisions are somewhat alike but are created for different reasons and under distinct circumstances. Both are important for a business...
What is the Difference Between Tangible and Intangible Assets?
Tangible Assets Vs Intangible Assets
An asset is a useful/valuable thing or person. Assets are divided in various ways depending on their physical existence, life...
What is the Difference Between Bookkeeping and Accounting?
Bookkeeping Vs Accounting
Both bookkeeping and accounting are used interchangeably in the financial world, however, there is a notable difference between bookkeeping and accounting. Bookkeeping...