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Difference Between Recasting and Refinancing

Recasting (also, loan recasting/ mortgage recasting) is a process involving a re-amortization of an existing loan, without changing the loan's...

Example of a Memorandum Account

A memorandum account (memo account) is an account that has no accounting function, but rather is an information account that...

Example of a Memorandum Entry

A memorandum entry (also, a memo entry) is an accounting entry that gives rise to no debit and credit effects...

Difference Between Book Value and Carrying Value

Book value (BV) is the historical cost of an entity's assets (total assets) minus its liabilities (total liabilities) (hence it...

Examples of Equity Instrument

Any financial instrument that confers on its holder a residual interest in the net assets of an entity (its assets...

Net Tangible Assets Calculation

Net tangible assets (NTAs) are an entity's total assets less intangible assets such as goodwill, all liabilities and the par...

Net Tangible Assets Formula

Net tangible assets (NTAs) are an entity's total assets less intangible assets such as goodwill, all liabilities and the par...

Difference Between Value and Price

Value is what a product (or broadly an asset) or service is perceived to be worth in terms of benefits...

Discount on Premature Payment in Murabaha Transactions

Murabaha (also spelled murabahah) is a shari’a compatible mode of debt financing which involves the sale of a commodity mostly...

Shari’a Stipulations on the Price in Istisna’ Contract

Istisna' (الاستصناع) is a type of sale (ba'i or bay') in which the underlying asset (a predefined product known as...