Wholesale Price Index (WPI)
The Wholesale Price Index (WPI) measures and tracks the changes in the price of goods in the wholesale market, or in other words, the price of goods that are sold in bulk, or wholesale, typically to retailers.
Wholesaler
A wholesaler acts as a middleman by purchasing large quantities of products from manufacturers and reselling them to retailers or other businesses rather than to the final consumers, enabling the distribution process in the supply chain.
Wholly Owned Subsidiary
A wholly owned subsidiary is a company whose entire stock is owned by another company, known as the parent company or holding company. This structure provides the parent company with complete control over the subsidiary.
Wi-Fi
Wi-Fi, short for Wireless Fidelity, represents a set of standards for wireless local area networks (WLANs) and is commonly called wireless Ethernet. This technology enables devices to connect to networks and the Internet without the need for wired connections.
Wide Area Network (WAN)
A Wide Area Network (WAN) is a telecommunications network that extends over a large geographical area for the primary purpose of computer networking. This type of network connects individual and organizational workstations that are located far apart, such as in different states, countries, or continents.
Wide Area Telephone Service (WATS)
Wide Area Telephone Service (WATS) is a specialized telecommunication service used primarily by businesses for making long-distance calls over a large geographic area at reduced rates.
Wide Area Telephone Service (WATS)
Wide Area Telephone Service (WATS) offers organizations access to long-distance telephone lines for commercial use at reduced rates. This service enables businesses to manage their communication expenses effectively while providing seamless connectivity.
Widget
A widget is a symbolic gadget used to represent a hypothetical product, typically in scenarios where a generic example is required to illustrate a manufacturing, business, or marketing concept. Widgets serve as versatile placeholders in theoretical models, classroom examples, and business simulations.
Widow-and-Orphan Stock
Widow-and-orphan stock refers to a type of stock that is known for paying high dividends and being extremely safe, offering stability especially through non-cyclical business operations.
WikiLeaks
A controversial international nonprofit organization that publishes submissions of private, secret, and classified media sourced from anonymous tips, whistle blowers, and government sources. Launched in 2006, it claimed a database of more than 1.2 million documents within one year.
Wikipedia
Wikipedia is a free online encyclopedia that hosts a vast collection of information on a plethora of subjects. It allows users to contribute and edit content while maintaining a reference-based verification system.
Wildcat Drilling
Wildcat drilling refers to the process of exploring for oil or gas in unproven or undeveloped areas, which involves high risks but offers potential for high rewards if commercially viable resources are discovered.
Wildcat Strike
A sudden and unannounced work stoppage that occurs while a labor contract is still in effect, typically without union authorization, and considered illegal.
Will
A document that dictates how a person's property is to be distributed after their death. It must meet certain legal requirements to be valid.
Wilshire 5000
The Wilshire 5000 is a stock index tracking 5,000 common stocks and is considered one of the most broadly based barometers of American stock performance.
Windfall Gains and Losses
Windfall gains and losses refer to unexpected increases or decreases in value arising from actual or prospective receipts that differ from initial predictions or due to changes in net present value of the receipts.
Windfall Profit
Windfall profit is a sudden, unexpected gain resulting from an event that is not controlled by the person or company benefiting from it. These profits often arise due to external factors such as natural disasters, government regulation changes, or sudden shifts in market dynamics.
Winding Up
The process of liquidating a corporation, involving the collection of assets, payment of expenses, satisfaction of creditors' claims, and distribution of remaining assets to shareholders.
Winding-Up
Winding-up is the process of dissolving a company by liquidating its assets to pay off creditors and distributing any remaining assets to shareholders.
Winding-Up Petition
A winding-up petition is a legal document presented to a court in the UK, seeking an order for a company to be placed into compulsory liquidation, typically due to insolvency.
Window
A 'window' can refer to various contexts, including a time-limited opportunity, a Federal Reserve Bank's lending facility, a brokerage firm's cashier department, or a portion of a computer display screen.
Window Dressing
Window dressing refers to any practice aiming to make a financial situation appear more favorable than it really is, often used by accountants to enhance the look of balance sheets.
Windows: The Graphical User Interface (GUI) Introduced by Microsoft in the 1980s
Windows, a graphical user interface introduced by Microsoft in the 1980s, revolutionized the way users interacted with computers by providing a user-friendly and visually appealing environment, significantly impacting personal and business computing.
Wipeout
The term 'wipeout' refers to the complete erasure or removal of data, which can occur deliberately or inadvertently, often in digital contexts such as computers, disks, or storage devices.
Wire House
A wire house is a national or international brokerage firm whose branch offices are linked by a communications system that allows for the rapid dissemination of prices, information, and research related to financial markets and individual securities.
Wireless Communication
Wireless communication refers to the transfer of electromagnetic signals from one location to another without the use of cables, commonly using infrared light or radio waves. While infrared communication is typically limited to short distances, radio waves can cover much larger areas.
Wireless Network (Wireless LAN)
A Local Area Network (LAN) that facilitates communication between computers and devices via radio waves rather than through physical cables.
Withdrawal
A withdrawal refers to the act of removing or taking out money from a place where it is kept, such as a bank account or a mutual fund.
Withdrawal Plan
A systematic approach used by investors to receive fixed payments from their investment accounts or mutual funds on a regular basis, usually monthly or quarterly, often consisting of income, capital gains, or both.
Withholding
Withholding refers to the portion of an employee's wages retained by the employer for the purpose of paying various taxes, insurance plans, pension plans, union dues, and other deductions.
Withholding Tax
Withholding tax is a tax deducted at source from dividends or other income paid to non-residents of a country. If there is a double taxation agreement between the country in which the income is paid and the country in which the recipient is resident, the tax can be reclaimed.
Without Prejudice
A term used in legal documents to indicate that statements made therein cannot be used as evidence in court or harm an existing right or claim.
Without Recourse
A phrase indicating that the holder of a bill of exchange cannot seek payment from the original payee if the bill is not honored.
Word Processing
Using a computer to prepare a document such as a letter, manuscript, or report. Word processing software enables easy revision and allows the final document to be printed out without retyping the entire text.
Word Processing Center
A Word Processing Center serves as the headquarters of word processing operations for a company, catering to several on-site and/or off-site stations.
Word Processor
A word processor is a computer program used for composing, formatting, sorting, and rearranging text, often providing capabilities akin to those of desktop publishing software.
Word Wrap
Word wrap is a feature in word processing software that automatically moves the cursor to the next line when the end of the current line is reached. This feature streamlines text input by eliminating the need to manually press the return key.
WordPerfect
WordPerfect is a word processing application predominantly used for creating, editing, formatting, and printing documents. Originally developed by Satellite Software International and later acquired by Corel, it has been a notable competitor in the word processing software market.
Words Per Minute (WPM)
Words Per Minute (WPM) is a measure of the speed at which an individual can type or at which a machine can print. It represents the number of words processed within one minute.
Work Clothes, Special
Special work clothes are apparel required for the performance of one's job and are not suitable for wear outside of work settings. The cost of these clothes is a miscellaneous itemized deduction, subject to the 2% Adjusted Gross Income (AGI) floor.
Work Experience
Experience gained while employed in a particular occupation. Work experience is valuable in building a successful career and fosters the ability to assume greater responsibilities.
Work Force (Labor Force)
The term 'work force' or 'labor force' refers to the total number of people who are eligible and willing to work, either currently employed or actively seeking employment. In economic terms, it encompasses both the employed and the unemployed who are looking for jobs, excluding those who are not seeking employment, such as retirees, students, or homemakers.
Work in Process (WIP)
Work in Process (WIP) refers to the materials and components that have begun their journey in the production process but are not yet completed products. It is an essential concept in manufacturing and inventory management.
Work in Process (WIP)
Work in Process (WIP), also known as work in progress, refers to the partially finished goods within a manufacturing operation. These items are in the production line but are not yet complete. The valuation of WIP typically follows financial principles and methods such as FIFO (First-In, First-Out), LIFO (Last-In, First-Out), or average cost method.
Work in Progress (WIP)
Work in Progress (WIP) refers to the goods that are partially completed in a manufacturing process and are still undergoing the necessary transformation to become full-fledged finished products. It is a vital part of inventory management and accounting in production-focused industries.
Work Measurement
An estimate of the time required to carry out a series of manufacturing procedures, by studying the operations involved by means of time, methods, and work studies.
Work Opportunity Tax Credit (WOTC)
A tax credit available to employers for wages paid to employees hired from certain targeted groups of hard-to-employ individuals. Generally, the credit is 40% of the first $6,000 of qualified wages ($3,000 for qualified summer youth employees) paid to each member of a targeted group during the first year of employment, and 25% in the case of wages attributable to individuals meeting only minimum employment levels.
Work Order
A form issued by a using department requesting the completion of specified work. It serves as a request for work to be completed by an issuing department.
Work Permit
A work permit is a provisional status provided by the government to foreign individuals, allowing them to work legally in the host country for a specified period.
Work Station
A work station is an area specifically reserved or designed for an individual to perform their assigned tasks efficiently without interference from others.
Work Stoppage
Any interruption of work by employees for the purpose of improving working conditions, usually unexpected and unannounced.
Worker Buyout
The process of reducing staff by offering financial incentives to employees with seniority, known as a workforce buyout, can be expensive but it helps maintain morale and loyalty among remaining employees.
Workers' Compensation Acts
Workers' Compensation Acts are statutes that establish the liability of an employer for injuries or sicknesses that arise out of and in the course of employment. This liability is created without regard to the fault or negligence of the employer. Benefits generally include hospital and other medical payments and compensation for loss of income. If the injury is covered by the statute, compensation thereunder will be the employee's only remedy against his employer.
Workers' Compensation Income
Workers' compensation income refers to the benefits provided to employees who suffer work-related injuries or illnesses, compensating for loss of income, medical expenses, and rehabilitation costs during their recovery period.
Workers' Compensation, Coverage A
Workers' Compensation, Coverage A refers to a type of insurance agreement where an insurer commits to covering all compensation and benefits that an insured employer is legally obligated to provide under state-specific workers' compensation laws.
Workers' Compensation, Coverage B
Coverage under a commercial Workers' Compensation Policy for situations not covered under workers' compensation laws where an employee could sue for injuries suffered under common-law liability.
Working Capital
Working capital is essential for financing the day-to-day operations of a company, calculated as the difference between current assets and current liabilities.
Working Capital Adjustment
Working Capital Adjustment, specifically the term 'monetary working-capital adjustment', refers to the modifications done to the working capital of a business under current-cost accounting. It accounts for fluctuations in bank balances, overdrafts, and cash required to support daily operations.
Working Capital Ratio
The working capital ratio, also known as the current ratio, measures a company's ability to pay off its short-term liabilities with its short-term assets. It is a key indicator of financial health and efficiency.
Working Interest
A customary seven-eighths interest in the oil business that bears the cost of development and operation of an oil or gas property.
Working Papers
Documentation used to verify that minor employees meet legal age requirements for employment, ensuring compliance with child labor laws.
Working Poor
The working poor are individuals who are economically disadvantaged despite being fully employed. They do not earn enough income to significantly improve their overall standard of living.
Workload
Workload refers to the measure of the amount and types of work performed by an individual within a given period of time. It encompasses both quantitative and qualitative aspects, assessing not only the total work executed but also the individual's perception of their capability to handle it.
Workout
A mutual effort by a property owner and lender to avoid foreclosure or bankruptcy following a default. It generally involves a substantial reduction in the debt service burden during an economic downturn.
Workplace Pension
A workplace pension is a retirement savings plan arranged by employers to help employees save towards their retirement in addition to the state pension.
Worksheet
A worksheet is a piece of paper used for intermediate calculations, jotting down thoughts, and preliminary notes. It is not included in the final report and serves as a transitional tool for organizing work before transferring it to a more permanent and formal medium such as a spreadsheet or final report.
Workweek
A workweek refers to the standard number of days and hours that employees are scheduled to work within a week in an organization. It varies across different organizations depending on their operational requirements.
World Bank
The term 'World Bank' refers to the collective institutions including the International Bank for Reconstruction and Development (IBRD), the International Development Association (IDA), and the International Finance Corporation (IFC). These entities work globally to reduce poverty and support development.
World Congress of Accountants (WCOA)
An illustrious global event that gathers accountants from around the world to discuss the latest trends, challenges, and innovations in the field of accountancy.
World Congress of Accountants (WCOA)
An international conference of accounting professionals first held in St Louis, USA, in 1904. It is now held at four-yearly intervals under the auspices of the International Federation of Accountants (IFAC). The nineteenth Congress was held in Rome in 2014.
World Economic Forum (WEF)
A not-for-profit organization that holds an annual meeting of business leaders, politicians, academics, and opinion formers, usually in Davos, Switzerland. The Forum promotes public-private cooperation to address global economic, social, and environmental challenges.
World Trade Organization (WTO)
The World Trade Organization (WTO) is a global international organization dedicated to facilitating and expediting trade between nations. Headquartered in Geneva, Switzerland, it has approximately 150 member countries. The WTO encourages international trade, sets rules for trade, and resolves disputes between member countries concerning international trade.
World Trade Organization (WTO)
The World Trade Organization (WTO) is an international trade organization formed to replace GATT and oversee international trade rules and liberalization efforts. It aims to ensure that trade flows smoothly, predictably, and freely.
World Trade Organization (WTO)
The World Trade Organization (WTO) is an intergovernmental organization that regulates international trade, ensuring that trade flows as smoothly, predictably, and freely as possible.
World Wide Web
The World Wide Web, commonly referred to as the web, is a system of interlinked hypertext documents and multimedia content that are accessed via the Internet using web browsers. It was invented by Sir Tim Berners-Lee in 1989.
World Wide Web
The World Wide Web is a global information medium which users can read and write via computers connected to the Internet. Often simply referred to as 'the Web,' it is an essential component of modern communication, entertainment, and commerce.
World Wide Web (WWW)
The World Wide Web (WWW) is a distributed hypertext system invented by Tim Berners-Lee on a NeXT computer, and it is currently one of the most popular services offered on the Internet.
World Wide Web (WWW)
The World Wide Web (WWW), commonly referred to as the web, is a system of interlinked hypertext documents and multimedia content that can be accessed through the internet using a web browser.
WorldCom Scandal
An in-depth exploration of the WorldCom scandal, one of the largest accounting fraud cases in history, which involved significant financial manipulations leading to inflated profits and assets.
WORM (Write Once, Read Many)
Write Once, Read Many (WORM) is a storage technology that allows data to be written to a device a single time, but read multiple times. Commonly applied in data archiving and compliance.
Worth
Worth refers to the inherent value of a commodity, good, service, or other economic factor. It is often measured beyond mere price in various contexts, such as comparable worth programs that aim for wage equity.
Worthless Securities
Worthless securities are financial instruments that have no value. Ownership of worthless securities typically results in a capital loss for the investor.
Wraparound Mortgage
A wraparound mortgage is a loan arrangement where an existing mortgage is retained, and a new, larger loan is provided. The new lender remits payments on the existing loan and usually experiences a higher yield due to the difference in interest rates between the old and new loans.
Writ
A Writ is a legal order issued by the authority and in the name of the state to compel a person to do something specified. It is issued by a court or other competent tribunal and contains specific instructions for action.
Writ of Error
A Writ of Error is a procedural method utilized in some states to bring appeals in civil matters before an appellate court for review, which may potentially lead to the reversal of a lower court's decision.
Writ of Execution
A writ of execution is a court order that directs a court officer to enforce a judgment, which may involve collecting money or seizing property from a defendant as per a court ruling.
Write Off
The act of reducing the value of an asset or a debt to zero in a balance sheet, often due to obsolescence, expiration, or uncollectibility.
Write-Down
A write-down is a reduction in the book value of an asset on a company's financial statements, typically due to a decline in the asset's market value. This accounting procedure adjusts the carrying value of an asset to reflect its current estimated recoverable amount.
Write-Protect
Write-protect is the process of placing a signal to a computer or storage device to prevent any data from being accidentally written or modified on the storage device. This ensures valuable data can be read without the risk of being overwritten or deleted.
Writer
A writer in the context of finance is a person who sells option contracts, including both put and call options, in various financial markets.
Writing Naked
Writing naked refers to a highly speculative strategy where an options trader sells options without holding the underlying security, exposing them to significant risk.
Writing-Down Allowance (WDA)
The Writing-Down Allowance (WDA) is a form of tax relief that allows businesses to depreciate certain types of assets to reduce taxable profits.
Writing-Down Allowance (WDA)
Writing-down allowance (WDA) is a type of capital allowance available to UK traders, allowing the reduction in value of certain assets over time for tax purposes.
Written Resolution
Under the Companies Act 2006, a written resolution is signed by a majority of company members and treated as effective even though it is not passed at a properly convened company meeting.
Written-down Value (WDV)
Written-down value (WDV) is the value of an asset for tax purposes after accounting for reduction in value below the initial cost due to its use in trade. It indicates the remaining value of the asset after appropriate capital allowances.
Written-Down Value (WDV)
Written-Down Value (WDV) refers to the depreciated value of an asset after accounting for depreciation or amortization up to a specific date. It represents the current book value of an asset in the financial statements.
Wrongful Termination/Discharge
Wrongful termination or discharge refers to an employee's legal action against a former employer, alleging that the dismissal violated federal or state anti-discrimination laws, public policy, an implied or actual employment contract, or an implied covenant of fair dealing and good faith.
Wrongful Trading
Wrongful trading refers to the act of continuing to trade when a company has no reasonable prospect of avoiding insolvency. Directors can be held personally liable if they knew, or should have known, about the company's financial predicament.
WRT (With Respect To)
An abbreviation commonly used in business communication, technical documentation, and legal writing to refer to 'with respect to' or 'with regard to.' It offers a concise way to specify the subject or topic being discussed.
WT (Warrant)
An abbreviation for warrant, WT is a term used in finance to denote a derivative security. It gives the holder the right, but not the obligation, to purchase a company's stock at a specific price before the warrant expires.

Accounting Terms Lexicon

Discover comprehensive accounting definitions and practical insights. Empowering students and professionals with clear and concise explanations for a better understanding of financial terms.