valuation account Synonyms
No Synonyms and anytonyms found
valuation account Meaning
Wordnet
valuation account (n)
a reserve fund created by a charge against profits in order to provide for changes in the value of a company's assets
valuation account Sentence Examples
- The valuation account is used to adjust the cost basis of an asset to its fair market value.
- The valuation account can be credited or debited to reflect changes in the asset's value.
- A positive balance in the valuation account indicates that the asset is valued above its cost basis.
- A negative balance in the valuation account indicates that the asset is valued below its cost basis.
- The valuation account is an important tool for companies to manage their financial reporting.
- The valuation account can help companies to avoid overstating or understating the value of their assets.
- Companies must carefully consider the factors that affect the valuation of their assets when using a valuation account.
- The valuation account should be reviewed regularly to ensure that it is still accurate.
- The valuation account can be used for a variety of assets, including investments, real estate, and inventory.
- The valuation account is a complex but important tool that can help companies improve their financial reporting.
FAQs About the word valuation account
a reserve fund created by a charge against profits in order to provide for changes in the value of a company's assets
No synonyms found.
No antonyms found.
The valuation account is used to adjust the cost basis of an asset to its fair market value.
The valuation account can be credited or debited to reflect changes in the asset's value.
A positive balance in the valuation account indicates that the asset is valued above its cost basis.
A negative balance in the valuation account indicates that the asset is valued below its cost basis.
