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Financial Terms

Bad Debt

Bad debt is when a company acknowledges that it is unable to recover the money owed to them by a customer. This occurs when the customer is incapable of repaying the amount borrowed. It is a distressing situation that organizations encounter, as they anticipated receiving the payment. Despite efforts to collect the debt, it becomes clear that the customer is unable to meet their financial obligation. This unfortunate circumstance often necessitates companies to write off the debt as a loss.

Annual Report

An essential document for understanding a company's performance and future prospects is the annual report. This comprehensive report not only provides insight into the compa...

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Capital Tax

Capital Gains Tax, commonly referred to as CGT, is a tax levied on the profit earned from selling a capital asset. This includes assets such as real estate, stocks, and busi...

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Dividend Distribution Tax

This tax is paid by the company, not the shareholders. The term "dividend tax" refers to a tax levied by the Indian government on companies that distribute dividends to thei...

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Amortization

Amortization is a fundamental concept in finance that involves paying off a debt through regular, fixed payments over a set period of time. By adhering to a predetermined sc...

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