ON ACCOUNT Meaning and
Definition
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The term "on account" refers to a financial transaction or record where the payment or credit is made towards an open or outstanding balance. It is commonly used in accounting, banking, and business contexts.
In accounting, "on account" signifies a partial payment made by a customer or client on a purchase, reducing the total amount owed. It represents a credit entry in the accounts receivable ledger, documenting the partial payment received. This allows businesses to keep track of outstanding balances and customer payments more efficiently.
In the banking sector, "on account" refers to the action of depositing money into an existing bank account. When money is added to an account, it increases the balance and can be used for future withdrawals or transactions.
Furthermore, "on account" is also used to describe a situation where an individual or business is accruing expenses or generating revenue, but the specific details are not yet known. For example, a business might make a provisional estimate of expenses "on account" when they do not have precise figures at the moment, but need to record the potential impact on their finances.
Overall, "on account" is a versatile term that signifies partial payments, deposits, and provisional records in financial contexts. It assists in accurately tracking transactions, maintaining financial records, and ensuring a clear overview of outstanding balances.
Common Misspellings for ON ACCOUNT
- in account
- kn account
- ln account
- pn account
- 0n account
- 9n account
- ob account
- om account
- oj account
- oh account
- on zccount
- on sccount
- on wccount
- on qccount
- on axcount
- on avcount
- on afcount
- on adcount
- on acxount
- on acvount
Etymology of ON ACCOUNT
The phrase "on account" is derived from Middle English and Old French. The word "on" originates from the Old English word "on", which meant "at" or "in". The word "account" is derived from the Old French term "aconto(u)r", meaning "on account". The Middle English phrase "on account" initially meant "on an account", referring to goods or services provided with an expectation of payment at a later date. Over time, it evolved to its current meaning, representing a reason or explanation for something happening or being done.
Idioms with the word ON ACCOUNT
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on account of sth
The idiom "on account of something" means because of something or due to something. It is used to explain the reason or cause for a particular action, condition, or situation. It suggests that the mentioned reason is the main factor that led to the described outcome.
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on account of (someone or something)
The idiom "on account of (someone or something)" means because of someone or something; due to someone or something; for the reason of someone or something's actions or existence.
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on account of somebody/something
The idiom "on account of somebody/something" means because of someone or something, usually used to explain a reason or cause for a particular situation or outcome. It implies that the mentioned person or thing is responsible for the circumstances being discussed.
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on account of
The idiom "on account of" means because of or due to a particular reason or cause. It is often used to explain the reason or justification behind an action or event.
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on account
The idiom "on account" typically means owing money for a purchase or service that will be paid at a later date. It can also refer to something happening or existing as a result of a specific reason or cause.
Similar spelling word for ON ACCOUNT
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