Accounting Measurement
Barron's Accounting Dictionary:
Top
Accounting Measurement
Quantification of accounting values in the form of money or other units. Transactions are recorded in the accounts in dollars based on historical cost. Some accounting measurements have to be expressed in volume such as direct labor hours used to apply overhead in a cost accounting system.
| Accounting Manual, Accounting Interpretation, Accounting Information System (AIS) | |
| Accounting Period, Accounting Policies, Accounting Postulate |
Investopedia Financial Dictionary:
Top
Accounting Measurement
The computation of economic or financial activities in terms of money, hours or other units. An accounting measurement is a unit of some measurable element that is used to compare and evaluate accounting data.
Accounting is often measured in terms of money; for example, when a company records weekly sales at $10,000. The same company could record those transactions in terms of units sold; for instance 5,000 units (of $2.00 products).
Investopedia Says:
Accounting is often quantified in terms of money but can also be recorded in terms of alternative units, number of labor hours, number of jobs created, etc. The different accounting measurements provide a better view of the overall health of the corporation by allowing varying methods of comparison and evaluation.
Related Links:
These figures can either shed light on a company's performance or skew it. Find out why.
Understanding Pro-Forma Earnings
Learn how to assess whether a company's pension plan is posing more risks than what the footnotes indicate. How To Evaluate Pension Risk By Analyzing Annual Costs
Are these charge-offs fair accounting or earnings manipulation? Learn more here. The Ins and Outs Of In-Process R&D Expenses
What is the difference between principles-based accounting and rules-based accounting?
Learn what it means to do your homework on a company's performance and reporting practices before investing. Advanced Financial Statement Analysis
Post a question - any question - to the WikiAnswers community:
Copyrights:
Barron's Accounting Dictionary
Dictionary of Accounting Terms. Copyright © 2010 by Barron's Educational Series, Inc. All rights reserved.
Read more
Mentioned in
Entity Accounting
(in accounting)
Comparability
(in accounting)
Accounting Postulate
(in accounting)
Accounting Error
(business term)
Uniformity
(in accounting)
» More