A budget deficit occurs when expenditures exceed income, and it can affect governments, corporations, and individuals. It necessitates funding solutions like issuing treasury bonds or reducing expenses.
An account primarily used by non-profit organizations to record and summarize their income and expenditures, leading to a calculation of surplus or deficit without applying the accruals concept.
Mutual trading refers to situations where the income of a company arises solely from contributions by its members, with those members being the owners of the company. These organizations often operate as mutuals or building societies, and their 'profits' are considered a surplus of contributions rather than taxable profit.
Paid-In Capital Surplus represents capital received from investors in exchange for stock. It is distinguished from capital generated from earnings or donations and includes capital stock and contributions from stockholders that are credited to accounts other than capital stock, such as an excess over par value.
A stock-out occurs when the inventory of a particular item is depleted, leading to a situation where no stock remains in store available for sale or use.
Surplus refers to any excess amount over what is needed, particularly in finance and corporate accounting. It denotes assets that remain after liabilities, debts, and capital stock have been deducted.
