Sundry expenses are costs which may be relatively small or occur infrequently and are therefore not assigned to a specific ledger group. They are also known as miscellaneous expenses and are classified together as a group when they are presented in an accounting statement.Know More
Sundry expenses count as operating expenses in an income and expense statement, meaning they are incurred in support of the day-to-day business of the company or individual in question. Sundry expenses often come up in sales or administration.
By definition, sundry expenses do not include regular payments of any kind or those that would be defined as capital expenses, such as those related to capital equipment, shares or assets. Sundry expenses, therefore, do not generally include:
Another way to classify sundry and operating expenses in general is to consider them as being related directly to the way the company generates revenue. Miscellaneous or sundry expenses are presented last in the list of expenses on an income statement. As part of the operating expenses, sundry expenses are deducted from gross revenues in an income statement.Learn more about Accounting
A sundry account is a business account where miscellaneous income is reported. This income is not generated by the sale of the company's products or services, but must be accounted for because it increases the company's overall profits and thus its net worth.Full Answer >
Accounting is important because it provides an objective picture of a business' financial success. In addition, accurate bookkeeping and accounting is extremely vital for tax and legal purposes. Many companies are required to have particular accounting procedures in order to comply with legal code.Full Answer >
Unearned revenue is usually included in a deferred revenue account for tax-recording purposes. Unearned revenue is revenue for services not yet rendered or goods that have not been distributed to the customer, according to Business Economics. Examples of unearned revenue include prepayment for airline tickets, transportation vouchers and concert tickets. When the ticket is redeemed or paid-for merchandise is shipped, the monies move from an unearned revenue account to sales.Full Answer >
The U.S. Bureau of Labor Statistics describes an auditor as a type of accountant that specializes in the examination of financial documents. Auditors scrutinize records for accuracy, look for signs of mismanagement and identify wasteful business practices. Some auditors work solely with computer systems, ensuring the accuracy and reliability of digital financial data.Full Answer >