SINKING FUND Definition

Bookmark and Share

SINKING FUND is a sum set apart periodically from the income of a government or a business and allowed to accumulate in order ultimately to pay off a debt. A preferred investment for a sinking fund is the purchase of the governments or firms bonds that are to be paid off. Usually the fund is administered by a trustee.

Learn new Accounting Terms

JOINT ACCOUNT is a financial account owned by two or more persons who share equally in the rights and liabilities of the account.

ACCOUNTING DIVERSITY is the recognition that many diverse national and international accounting standards exist in the world.

Suggest a Term

Enter Search Term

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