Explanation

Accounts payable is the money a company owes its vendors, while accounts receivable is the money that is owed to the company, typically by customers.

Explanation

The straight-line method of depreciation assumes a constant rate of depreciation. It calculates how much a specific asset depreciates in one year, and then depreciates the asset by that amount every year after that. 

Explanation

 Assets refers to things which have future economic value and bank overdraft is the amount withdrawn in excess of the amount deposited in bank. So, inflow of economic benefits is referred to as Income.

Explanation

Equity as a degree of residual ownership in a firm or asset after subtracting all debts associated with that asset.

Equity represents the shareholders' stake in the company, identified on a company's balance sheet.

Explanation

In financial planning, most high option price will lead to longer option period.

option period is a time frame or period of time, which is valid for an option to be exercised before or on the expiration date. 

Explanation

Depreciation represents how much of an asset's value has been used up.

Depreciating assets helps companies earn revenue from an asset while expensing a portion of its cost each year the asset is in use.

Explanation

Petty cash book is used to record the day to day small value transactions.

Balance lying in petty cash book is as good as cash balance.

Cash is an asset for the business.

Explanation

Larger number of manager subordinates and higher level manager are termed as broader responsibility center.