Accounting Unit 16: Vocabulary

To pass this unit, please study the 20 vocabulary words below.
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ad hoc
for a particular purpose or need
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As well as regular reports the CFO often demands ad hoc reports when the need arises.
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check
a printed form, used instead of money to make payments from a bank account
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John didn’t provide his bank details in time for the transfer to be made, so he was paid by check instead.
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commission
a system of payment based on a percentage of the value of sales, business generated
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Commission is a common incentive in the sales sector as it encourages employees to sell more.
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compensation
the combination of payments and other benefits which employees receive
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Large multinational companies can usually offer better compensation packages than small companies.
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curb
reduce or limit
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The company is trying to curb spending, so all salaries have been frozen.
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cutoff
a fixed point, date or level at which you stop including things
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The cutoff date for registration is the 30th September, so make sure you apply before then.
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fringe benefits
an extra thing which is given to you by an employer
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The company's package of fringe benefits includes: company car, pension plan and private health insurance.
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garnishment
deduction of income or property from someone who owes a debt
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After garnishment for alimony and child support, he was left with just enough to pay his rent.
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overtime
time worked in addition to your usual job hours
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Approval must be given for all overtime worked.
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reimbursement
the act of paying back money which is owed
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Remember to keep all receipts for fuel purchased with your own money for reimbursement at the end of the month.
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requisite
needed for a particular purpose or result
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A masters degree is requisite to apply for the job.
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ROI (return on investment)
The yearly, monthly profit on an activity when compared to the invested capital
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Most companies require a 20% yearly return on investment for the investment to be considered.
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rigorous
Detailed and careful
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I want a rigorous financial analysis of the budget.
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salary
A fixed amount of money agreed every year as pay for an employee
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His basic monthly salary is $1700 but this is subject to bonuses.
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state
to say or write something officially
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The regulations state that all employees must hold a valid driving license.
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statutory
decided, controlled or required by law
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All companies are obliged to pay statutory sick pay, but many pay above this.
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tax code
A set of numbers and letters used to show the amount of income tax that an individual should pay
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The higher the numbers in your tax code, the more tax-free income you have.
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tied to
closely connected with, or reliant on
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The bonus system is tied to company profits, so if we have a bad year there won’t be any bonuses.
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wages
an amount of money that is paid every week to an employee for their work for each hour worked
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Most countries have minimum wages but there are still companies paying less than that.
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worked out
calculated, found the answer to
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One of the advantages of the computerized system is that it works out the tax due automatically.
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