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Dormant Company Accounts
Simplified annual accounts UK companies must file with Companies House when they have had no significant financial transactions.
READ MOREDividend Allowance
The tax-free amount of dividend income UK taxpayers can receive each tax year before dividend tax applies.
READ MOREDBA (Doing Business As)
A US registration allowing a business to operate under a name different from its legal entity name.
READ MOREDepriciation Recapture
A US tax provision requiring gains from the sale of depreciated property to be taxed as ordinary income up to the amount previously deducted.
READ MOREDuplicate Invoice
An erroneous second invoice for the same transaction, often flagged during accounts payable reconciliation to prevent duplicate payments.
READ MOREDue Diligence
A thorough investigation of a company's financial, legal, and operational records, typically conducted before a merger, acquisition, or investment.
READ MOREDouble-Entry Bookkeeping
The fundamental accounting system where every transaction affects at least two accounts, keeping debits and credits in balance.
READ MOREDividend Payout Ratio
The percentage of net income paid out to shareholders as dividends, calculated as dividends ÷ net income.
READ MOREDeferred Tax Asset
A future tax benefit arising from overpayment of taxes or temporary differences, recoverable in future periods.
READ MOREDebt Restructuring
Renegotiating the terms of existing debt to make repayment more manageable, often due to financial distress.
READ MOREDebt Financing
Raising capital by borrowing funds (loans, bonds) that must be repaid with interest, as opposed to equity financing.
READ MOREDebt-to-Equity Ratio
A leverage ratio comparing a company's total liabilities to shareholders' equity, used to assess financial risk.
READ MOREDisposal of Asset
Disposal of an asset refers to the removal of a fixed asset from a company’s records due to sale, scrapping, or obsolescence. The difference between…
READ MOREDiscounted Cash Flow (DCF)
Discounted cash flow is a valuation method used to estimate the present value of future cash flows by applying a discount rate. It helps determine the worth…
READ MOREDilution of Shares
Dilution of shares occurs when a company issues additional shares, reducing the ownership percentage of existing shareholders. This can happen through stock options, convertible securities, or new…
READ MOREDerivative Instrument
A derivative instrument is a financial contract whose value is based on an underlying asset, such as currency, interest rates, or commodities. Common examples include…
READ MOREDerecognition
Derecognition is the removal of an asset or liability from the balance sheet when it no longer meets recognition criteria. This may occur due to…
READ MOREDepreciable Base
Depreciable base is the portion of an asset’s cost that is subject to depreciation, calculated as the asset’s original cost minus its estimated residual value. It represents the total…
READ MOREDelivery Cost
Delivery cost refers to expenses incurred in transporting goods from the seller to the buyer. It may include shipping, handling, insurance, and logistics charges. Proper accounting treatment…
READ MOREDeflation Accounting
Deflation accounting adjusts financial statements to reflect the impact of decreasing price levels in an economy. While less common than inflation adjustments, it ensures that…
READ MOREDecision Tree Analysis
Decision tree analysis is a financial planning tool that maps out different decision paths and their possible outcomes. It helps evaluate risks, costs, and benefits of various…
READ MOREDebt Restructuring
Debt restructuring involves modifying the terms of existing debt agreements to provide relief to borrowers facing financial difficulty. This may include extending payment periods, reducing…
READ MOREDebt Service Coverage Ratio (DSCR)
The debt service coverage ratio measures a company’s ability to meet its debt obligations using operating income. It is calculated by dividing net operating income…
READ MOREDebt Covenant
A debt covenant is a condition set by lenders that a borrower must comply with as part of a loan agreement. These may include maintaining certain financial ratios or…
READ MOREData Migration
Data migration is the process of transferring financial data from one system to another, such as during software upgrades or system changes. It requires careful…
READ MOREData Governance
Data governance refers to the framework of policies, processes, and controls that ensure financial data is accurate, secure, and properly managed. It defines responsibilities for data handling…
READ MOREData Analytics in Accounting
Data analytics in accounting involves using tools and techniques to analyse financial data for patterns, trends, and insights. It helps businesses improve forecasting, detect anomalies,…
READ MOREDiv 7A Loan
A loan or advance made by a private company to a shareholder or associate under Division 7A of the ITAA 1936. If not structured under…
READ MOREDeferred Tax Liability
An amount owed in future tax payments arising from temporary differences between book income (per GAAP) and taxable income (per IRS rules), commonly created by…
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