NET OPERATING LOSS Definition

Bookmark and Share

NET OPERATING LOSS (NOL) is experienced by a business when business deductions exceed business income for the fiscal year. For income tax purposes, a net operating loss can be used to offset income in a prior year, or a taxpayer can elect to forego the carry back and carry the net operating loss forward.

Learn new Accounting Terms

2-WAY MATCHING is the comparison of relevant voucher to purchase order.

EQUITY-TO-ASSET RATIO expresses the proportion of total assets financed by the owner's equity capital. It is the reciprocal of the debt-to-asset ratio.

Suggest a Term

Enter Search Term

Enter a term, then click the entry you would like to view.