RESERVE ACCOUNT


Meaning of RESERVE ACCOUNT in English

noun

Etymology: reserve (III)

1. : a valuation account that shows the estimated or actual decline in value of an asset and is always subtracted on a balance sheet from the related asset account to show net value

a reserve account for depreciation

reserve accounts for bad debts

reserve account to reduce investments to market value

— called also allowance account, provision account, valuation account

2. : an account that shows an accrued usually estimated liability

reserve account for income taxes

3. : an account that shows profits or surplus segregated or appropriated for a particular purpose

reserve account for contingencies

reserve account for replacement of fixed assets

Webster's New International English Dictionary.      Новый международный словарь английского языка Webster.