LINE ITEM Meaning and
Definition
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A line item is a specific component or entry in a list or financial statement that represents a distinct unit of information. It refers to an individual item or category listed separately, typically in a structured format, such as a table or spreadsheet. Line items are used to break down and categorize data or expenses into smaller, manageable units for analysis or presentation purposes.
In accounting and finance, line items are commonly found in financial statements like the income statement, balance sheet, or cash flow statement. Each line item on these statements represents a specific revenue, expense, asset, liability, or equity account. For example, in an income statement, revenue line items could include sales, interest income, or dividends earned, while expense line items may include salaries, rent, utilities, and advertising costs.
Moreover, line items can also be utilized in budgets, invoices, purchase orders, or project plans to outline specific parts, products, services, or expenses. These line items help provide a detailed breakdown of costs, quantities, descriptions, and total amounts.
By organizing information into line items, individuals or organizations can easily identify and evaluate individual components within a larger context. Line items facilitate better understanding, analysis, and comparison of data, promoting effective decision-making and financial management.
Common Misspellings for LINE ITEM
- kine item
- pine item
- oine item
- lune item
- ljne item
- lkne item
- lone item
- l9ne item
- l8ne item
- libe item
- lime item
- lije item
- lihe item
- linw item
- lins item
- lind item
- linr item
- lin4 item
- lin3 item
Etymology of LINE ITEM
The word "line item" originated from the combination of two separate words: "line" and "item".
Firstly, "line" comes from the Middle English word "lyne", which can be traced back to Old English "līne" meaning "rope" or "thread". It has subsequently evolved to also refer to a "row" or "series" of things.
Secondly, "item" derives from the Latin word "item", meaning "also" or "in like manner". It was commonly used in medieval Latin to introduce individual points in a list or to indicate specific details.
The combination of these words, "line item", has come to be used to refer to individual entries or individual items in a list, particularly financial or budgetary lists. It is often used in accounting, budgeting, and legislative contexts to refer to specific elements that are separately identified and accounted for.
Similar spelling words for LINE ITEM
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