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What is a Tax Loss Carryforward?

Tax loss carryforward is used in accounting as a way to use financial losses within a business year as a later tax liability. This deduction from tax can be used up to seven years after the year when the loss occurred. This means that should the company experience a good year in the future they can use this tax liability to reduce the amount they have to pay.

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What is Transfer Pricing?

When goods or services are transferred within an organization there needs to be a way of tracking this for accounting purposes. Transfer pricing is a method by which resources can be transferred between different divisions or subdivisions of an organization. This transfer price can also apply to any subsidiaries of the business. The purpose of doing this is to optimize the performance of the organization as a whole and to determine how each division of the company is performing. It makes it possible to calculate each division’s profits and losses separately.

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What Can Be Done if a Parent Refuses to Pay Child Support?

Raising a child is expensive. In many countries around the world there is the expectation that the responsibility of raising their children falls on both parents. Even where the parents are not together there may be legal responsibilities to ensure the child’s welfare. In a lot of places there will be the requirement that absent the absent parent provides some type of child support. In fact the 1992 United Nations Convention on the Rights of the Child stipulates that all members of the UN should guarantee this support.  It may even be that a parent living with the child might be obligated to pay this money in some situations.

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What are Liquid Assets?

Sometimes we need to get our hands on cash in a hurry. This can not only be important for the individual but also for a business. Most of us will have different assets at our disposal, but it is not always possible to turn these into cash when we need to. Those assets that we can easily covert into currency are referred to as liquid assets. These also will usually be an asset that can be converted into money without any significant loss within a period of 20 days. For instance, you would probably have no problem turning your home into cash quickly if you dropped the price low enough, but this doesn’t really mean that the asset is liquid.

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What is a Guarantor?

Sometimes borrowing money can be difficult. Creditors might be afraid to touch us if we have no real credit history. We can appear like too much of a risk. This is where a guarantor comes into the picture. Having one of these people in our corner can greatly increase our chances of getting a loan. Of course it is not always easy to find such a useful personage; especially one that the bank will be willing to accept.

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Top 5 Best Financial Accounting Books Reviewed

Financial accounting focuses on the perpetration of financial statements. This information will often be used to make important business decisions so it is vital that it is reliable. Financial accounting can be highly demanding but luckily there are some useful books available on the market for anyone interested in this topic. Here are the top 5 best financial accounting books reviewed.

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What are Fixed Deposits?

When it comes to investing money there are a number of possible options. One possibility is a fixed deposit account. This is where you invest your money for a set period of time. The fact that you are willing to tie your money up means that you can generally expect to receive higher rewards.

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What is an IRA?

The simplest way to explain an IRA would be to say that it is a retirement account that provides tax advantages. IRA stands for Individual Retirement Account. A lot of people may view an IRA as an investment but this isn’t really correct; it would be better to say that an Individual Retirement Account is a basket where you can hold your investments. This type of account covers a wide range of possibilities and the one you will choose will very much depend on your exact needs.

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