Accounting Dictionary - Letter P

• Paid-in capital: The amount of money that shareholders have invested in a company, often used in financial reporting and accounting.
• Par value: The face value of a security or asset, often used in financial reporting and accounting.
• Parent company: A company that owns or controls one or more subsidiaries, often used in financial reporting and accounting.
• Partially owned subsidiary: A subsidiary that is owned or controlled by a parent company, but not entirely, often used in financial reporting and accounting.
• Partnership: A business organization that is owned and operated by two or more individuals or entities, often used in financial reporting and accounting.
• Payable: An amount that a company owes to a supplier or vendor, often used in financial reporting and accounting.
• Payroll: The process of paying employees for their work, often used in financial reporting and accounting.
• Payroll tax: A tax on the wages and salaries of employees, often used in financial reporting and accounting.
• Pension fund: A fund that is set aside to provide retirement benefits to employees, often used in financial reporting and accounting.
• Percentage of completion method: A method of accounting that recognizes revenue based on the percentage of completion of a project or contract, often used in financial reporting and accounting.
• Performance bond: A type of bond that guarantees the performance of a contractor or other party, often used in financial reporting and accounting.
• Periodic inventory system: A system of inventory management that involves counting and valuing inventory at regular intervals, often used in financial reporting and accounting.
• Permanent account: An account that is not closed at the end of an accounting period, often used in financial reporting and accounting.
• Perpetual inventory system: A system of inventory management that involves continuous counting and valuing of inventory, often used in financial reporting and accounting.
• Petty cash: A small amount of cash that is set aside for minor expenses, often used in financial reporting and accounting.
• Physical inventory: A count of the actual inventory on hand, often used in financial reporting and accounting.
• Planning and budgeting: The process of creating a plan and budget for a company's financial activities, often used in financial reporting and accounting.
• Plant asset: A long-term asset that is used in the production of goods or services, often used in financial reporting and accounting.
• Preferred stock: A type of stock that has a higher claim on assets and dividends than common stock, often used in financial reporting and accounting.
• Premium: The amount by which the market value of a security or asset exceeds its face value, often used in financial reporting and accounting.
• Prepaid expense: An expense that is paid in advance of the period in which it is incurred, often used in financial reporting and accounting.
• Present value: The current value of a future amount or stream of cash flows, often used in financial reporting and accounting.
• Price earnings ratio: A ratio that compares the market price of a security to its earnings per share, often used in financial reporting and accounting.
• Price level: The general level of prices in an economy, often used in financial reporting and accounting.
• Principal: The amount borrowed or invested, often used in financial reporting and accounting.
• Private company: A company that is not publicly traded, often used in financial reporting and accounting.
• Private placement: The sale of securities to a small number of investors, often used in financial reporting and accounting.
• Pro forma financial statements: Financial statements that are prepared on a hypothetical basis, often used in financial reporting and accounting.
• Process costing: A method of costing that involves assigning costs to a product or service based on the processes used to produce it, often used in financial reporting and accounting.
• Product cost: The cost of producing a product or service, often used in financial reporting and accounting.
• Product life cycle: The stages that a product goes through from development to decline, often used in financial reporting and accounting.
• Production budget: A budget that outlines the production plans and costs of a company, often used in financial reporting and accounting.
• Production cost: The cost of producing a product or service, often used in financial reporting and accounting.
• Productivity: The efficiency with which a company produces goods or services, often used in financial reporting and accounting.
• Profit: The excess of revenue over expenses, often used in financial reporting and accounting.
• Profit and loss statement: A financial statement that shows a company's revenues, expenses, and profit or loss, often used in financial reporting and accounting.
• Profit center: A segment of a company that is responsible for generating profit, often used in financial reporting and accounting.
• Profit margin: The ratio of profit to revenue, often used in financial reporting and accounting.
• Profit sharing: A plan that distributes a portion of a company's profit to its employees, often used in financial reporting and accounting.
• Profitability: The ability of a company to generate profit, often used in financial reporting and accounting.
• Profitability index: A ratio that compares a company's profit to its revenue, often used in financial reporting and accounting.
• Project accounting: A system of accounting that involves tracking the costs and revenues of a specific project, often used in financial reporting and accounting.
• Project budget: A budget that outlines the costs and revenues of a specific project, often used in financial reporting and accounting.
• Project cost: The cost of a specific project, often used in financial reporting and accounting.
• Project management: The process of planning, organizing, and controlling a specific project, often used in financial reporting and accounting.
• Project profitability: The profit or loss of a specific project, often used in financial reporting and accounting.
• Property, plant, and equipment: Long-term assets that are used in the production of goods or services, often used in financial reporting and accounting.
• Proprietary account: An account that is owned by a company, often used in financial reporting and accounting.
• Proprietary company: A company that is owned by a single individual or entity, often used in financial reporting and accounting.
• Public company: A company that is publicly traded, often used in financial reporting and accounting.
• Publicly traded company: A company that is listed on a stock exchange and is available for the public to buy and sell, often used in financial reporting and accounting.
• Purchase: The acquisition of goods or services, often used in financial reporting and accounting.
• Purchase discount: A discount that is offered to customers for purchasing goods or services, often used in financial reporting and accounting.
• Purchase method: A method of accounting that involves recognizing revenue when a purchase is made, often used in financial reporting and accounting.
• Purchase order: A document that is used to request the purchase of goods or services, often used in financial reporting and accounting.
• Purchase price: The price at which goods or services are purchased, often used in financial reporting and accounting.
• Purchasing power: The ability of a company to purchase goods or services, often used in financial reporting and accounting.
• Payroll accounting: The process of accounting for payroll expenses and liabilities, often used in financial reporting and accounting.
• Payroll tax accounting: The process of accounting for payroll taxes, often used in financial reporting and accounting.
• Pension accounting: The process of accounting for pension expenses and liabilities, often used in financial reporting and accounting.
• Performance measurement: The process of measuring a company's performance, often used in financial reporting and accounting.
• Periodic reporting: The process of reporting financial information on a periodic basis, often used in financial reporting and accounting.
• Perpetual inventory: A system of inventory management that involves continuous counting and valuing of inventory, often used in financial reporting and accounting.
• Petty cash fund: A fund that is used to pay for minor expenses, often used in financial reporting and accounting.
• Physical count: A count of the actual inventory on hand, often used in financial reporting and accounting.
• Planning and forecasting: The process of creating a plan and forecast for a company's financial activities, often used in financial reporting and accounting.
• Plant asset accounting: The process of accounting for plant assets, often used in financial reporting and accounting.
• Preferred stock accounting: The process of accounting for preferred stock, often used in financial reporting and accounting.
• Premium accounting: The process of accounting for premiums, often used in financial reporting and accounting.
• Prepaid rent: Rent that is paid in advance of the period in which it is incurred, often used in financial reporting and accounting.
• Present value of annuity: The current value of a future stream of cash flows, often used in financial reporting and accounting.
• Price change: A change in the price of a good or service, often used in financial reporting and accounting.
• Price level accounting: The process of accounting for changes in price levels, often used in financial reporting and accounting.
• Principal amount: The amount borrowed or invested, often used in financial reporting and accounting.
• Private equity: Equity that is not publicly traded, often used in financial reporting and accounting.
• Private placement memorandum: A document that is used to offer securities to a small number of investors, often used in financial reporting and accounting.
• Pro forma analysis: The process of analyzing financial information on a hypothetical basis, often used in financial reporting and accounting.
• Process accounting: The process of accounting for the costs and revenues of a specific process, often used in financial reporting and accounting.
• Product costing: The process of accounting for the costs of producing a product or service, often used in financial reporting and accounting.
• Product life cycle costing: The process of accounting for the costs of producing a product or service over its life cycle, often used in financial reporting and accounting.
• Production accounting: The process of accounting for the costs and revenues of production, often used in financial reporting and accounting.
• Production budgeting: The process of creating a budget for production, often used in financial reporting and accounting.
• Production costing: The process of accounting for the costs of production, often used in financial reporting and accounting.
• Productivity analysis: The process of analyzing a company's productivity, often used in financial reporting and accounting.
• Profit analysis: The process of analyzing a company's profit, often used in financial reporting and accounting.
• Profit and loss accounting: The process of accounting for profit and loss, often used in financial reporting and accounting.
• Profit center accounting: The process of accounting for profit centers, often used in financial reporting and accounting.
• Profit margin analysis: The process of analyzing a company's profit margin, often used in financial reporting and accounting.
• Profit sharing plan: A plan that distributes a portion of a company's profit to its employees, often used in financial reporting and accounting.
• Profitability analysis: The process of analyzing a company's profitability, often used in financial reporting and accounting.
• Profitability index analysis: The process of analyzing a company's profitability index, often used in financial reporting and accounting.
• Project accounting system: A system of accounting that involves tracking the costs and revenues of a specific project, often used in financial reporting and accounting.
• Project budgeting: The process of creating a budget for a specific project, often used in financial reporting and accounting.
• Project costing: The process of accounting for the costs of a specific project, often used in financial reporting and accounting.
• Project management accounting: The process of accounting for the costs and revenues of a specific project, often used in financial reporting and accounting.
• Project profitability analysis: The process of analyzing the profitability of a specific project, often used in financial reporting and accounting.
• Property accounting: The process of accounting for property, often used in financial reporting and accounting.
• Proprietary accounting: The process of accounting for proprietary information, often used in financial reporting and accounting.
• Proprietary company accounting: The process of accounting for a proprietary company, often used in financial reporting and accounting.
• Public accounting: The process of accounting for public companies, often used in financial reporting and accounting.
• Public company accounting: The process of accounting for public companies, often used in financial reporting and accounting.
• Publicly traded company accounting: The process of accounting for publicly traded companies, often used in financial reporting and accounting.
• Purchase accounting: The process of accounting for purchases, often used in financial reporting and accounting.
• Purchase discount accounting: The process of accounting for purchase discounts, often used in financial reporting and accounting.
• Purchase method accounting: The process of accounting for the purchase method, often used in financial reporting and accounting.
• Purchase order accounting: The process of accounting for purchase orders, often used in financial reporting and accounting.
• Purchase price accounting: The process of accounting for the purchase price, often used in financial reporting and accounting.
• Purchasing power accounting: The process of accounting for purchasing power, often used in financial reporting and accounting.