PRE-TAX INCOME/PROFIT Definition

Bookmark and Share

PRE-TAX INCOME/PROFIT see PROFIT BEFORE TAXES.

Learn new Accounting Terms

STRAIGHT-LINE DEPRECIATION METHOD allows an equal amount to be charged as depreciation for each year of the expected use of the asset. It is computed by dividing the adjusted basis of a property by the estimated number of years of remaining useful life.

REPLACEMENT VALUE is the cost to replace an item on the present market. Replacement value is a valuation similar to an adjusted book value analysis. Replacement value is different than liquidation value in that is uses the value of the replacement value of assets, which is usually higher than book value. Liabilities are deducted from the replacement value of the assets to determine the replacement value of the business.

Suggest a Term

Enter Search Term

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