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Account differences occur when accounting rules for Book and Tax accounts vary. A temporary difference will be balanced out over time - e.g. accelerated depreciation for tax purposes. A permanent difference will not be balanced out over time - e.g. tax on municipal interest (this has is non-taxable, but will show up on the books).
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What is the difference between person fund vs account fund?
The difference between person fund and account fund is that a person fund is transferred to the recipient in person, while the account fund is transferred to the account of the recipient.
Difference between permanent current assets and temporary current assets?
permanent asset should be financed with permanent and spontaneous sources of financing,while temporary assets should be financed with temporary sources of financing.
Are premiums on life insurance of key officers a permanent difference?
Life insurance premium expense when the corporation is the beneficiary is a permanent difference. It is deducted for book income but not for taxable income. And the proceeds received on such policies result in a book gain but are not taxable.
What is the difference between trading a demo account and trading a live account?
Basically they are the thing but with one huge difference - while trading a LIVE account emotions gets in the way and interfere with the trader's decisions. That's the main reason why a lot of traders who done well trading the demo account can't get the same results with a live account. Greed and fear are usually what make traders lose their mind and eventually their money.
What is balence?
The balance is the difference between the totals of the credit and debit sides of a financial account.
Is inventory permanent account or temporary account?
permanent account
Is the drawing account a permanent account?
Drawing account is not a permanent account rather it is temprary account which is closed to owners equity account at every year closing period.
Is prepaid insurance a permanent or temporary account?
it is permanent
Accounts Payable is a temporary or permanent account?
permanent
Is capital stock a permanent or temporary account?
Capital stock is considered a permanent account. Permanent accounts are ones which hold financial information for multiple accounting periods. Capital stock remains in an account until an accountant moves it to another account, which means that it is permanent.
What is permanent account?
An account that won't go away.
Is Interest expense a permanent account?
No it is a temporary account
Is a balance sheet account referred to as a permanent account?
Assets, Liabilities, and Stockholder's Equity are all permanent accounts.
Is cash account temporary account?
No cash account is a permanent account. as u treated cash as a debit element in General journal against of Capital. Capital is a permanent account so cash too.
Is retained earnings temporary account or permanent account?
Permanant
Is income summary a temporary or permanent account?
TEMPORARY ACCOUNT
What is permanent account number?
A permanent retirement account number given to pensioners in India. The number is given by the agency PFRDA.
