Appropriation Account

AAA

DEFINITION of 'Appropriation Account'

A governmental accounting term. The appropriation account is the account of any governmental agency that receives a credit. An appropriation account is reduced by the costs incurred by the agency to perform the task or complete the project for which the credit was given.

INVESTOPEDIA EXPLAINS 'Appropriation Account'

Appropriation accounts come into play when governments create their budgets. Appropriation credits are taken out of estimated revenues from taxes and trade and allocated to the proper agencies. Credits in appropriation accounts that are unused may be redistributed to other agencies or used for other purposes.

RELATED TERMS
  1. Adjunct Account

    An account in financial reporting that increases the book value ...
  2. Government Accounting Standards ...

    An organization whose main purpose is to improve and create accounting ...
  3. Account

    1. An arrangement by which an organization accepts a customer's ...
  4. Accounting Method

    The method by which income and expenses are reported for taxation ...
  5. Credit

    1. A contractual agreement in which a borrower receives something ...
  6. Revenue

    The amount of money that a company actually receives during a ...
Related Articles
  1. How quickly should my financial advisor ...
    Retirement

    How quickly should my financial advisor ...

  2. Variable Costs
    Investing

    Variable Costs

  3. How to Use the Gearing Ratio
    Investing Basics

    How to Use the Gearing Ratio

  4. What's a P&L Statement?
    Investing Basics

    What's a P&L Statement?

comments powered by Disqus
Hot Definitions
  1. Letter Of Credit

    A letter from a bank guaranteeing that a buyer's payment to a seller will be received on time and for the correct amount. ...
  2. Due Diligence - DD

    1. An investigation or audit of a potential investment. Due diligence serves to confirm all material facts in regards to ...
  3. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  4. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  5. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  6. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
Trading Center