Equivalent chemistry Wikipedia

This is because the term equivalent in mathematical theory is a notion that has multiple meanings. Equivalent means that different terms and expressions with a similar value are considered equal in mathematical form. The basic accounting equation is used to provide a simple calculation of a company’s value, based on a comparison of equity and liabilities.

1. Other companies group cash and cash equivalents together on the balance sheet and state them as one line item.
2. It can also be applied to gain a general idea of the additional costs required to convert work-in-process into finished goods.
3. In other words, a cash equivalent is an asset that is so liquid that it can be considered cash for practical purposes.
4. $1$ eqiv of a substance reacts with exactly $1$ equiv of another substances to produce $1$ equiv of each product.

Children find this topic very interesting for several reasons as they can relate to it in their daily lives. A certain amount of univalent ions provides the same amount of equivalents while the same amount of divalent ions provides twice the amount of equivalents. For example, 1 mmol (0.001 mol) of Na+ is equal to 1 meq, while 1 mmol of Ca2+ is equal to 2 meq. In a similar manner we can define https://accounting-services.net/ equivalent for all other types of reactions, such that the main idea i.e. “1 eqiv of a substance reacts with exactly 1 equiv of another substances to produce 1 equiv of each product”, remains unaltered. Two mathematical expressions are said to be equivalent if they yield the same result upon solving them. Equal means same in all aspects, whereas equivalent means similar but not identical.

The solution has 1 mole or 1 equiv Na+, 1 mole or 2 equiv Ca2+, and 3 mole or 3 equiv Cl−. Equivalent mass is molar mass divided by the n factor which isn’t always dependent on the other reactant. As a rule of thumb “One equivalence of one reactant reacts completely with one equivalence of another.”
These concepts of equivalence are extremely important in acid-base titration to determine the neutralisation point. And also to know the equivalent mass you simply need to find the mass of one equivalent of a substance using mole concept. The meaning of ‘equivalent’ generally refers to two numbers, expressions, or quantities with the same value. There are many ways to express an equivalent quantity – it can be denoted either by a bar or an equivalent symbol.

Nine Obscure Beer-Related Words

At the end of the period, ABC had incurred 35% of the labor and manufacturing overhead costs required to complete the 1,000 green widgets. Consequently, there were 1,000 equivalent units for materials and 350 equivalent units for direct labor and manufacturing overhead. Thus, the equivalent units for direct materials are generally higher than for other manufacturing expenses. The FIFO method is more accurate, but the additional calculations do not represent a good cost-benefit trade off. Only consider using the FIFO method when costs vary substantially from period to period, so that management can see the trends in costs. The expanded accounting equation is a form of the basic accounting equation that includes the distinct components of owner’s equity, such as dividends, shareholder capital, revenue, and expenses.

Substituting for the appropriate terms of the expanded accounting equation, these figures add up to the total declared assets for Apple, Inc., which are worth $329,840 million U.S. dollars. The expanded accounting equation is derived from the common accounting equation and illustrates in greater detail the different components of stockholders’ equity in a company. In other words, a cash equivalent is an asset that is so liquid that it can be considered cash for practical purposes.

The Words of the Week – Feb. 2

The expanded equation is used to compare a company’s assets with greater granularity than provided by the basic equation. Contributed capital and dividends show the effect of transactions with the stockholders. The difference between the revenue and profit generated and expenses and losses incurred reflects the effect of net income (NI) on stockholders’ equity.

Equivalent

Stocks and other trading securities that can be easily sold on a public market are easily converted into cash that they can be considered cash for most financial reporting. By this definition, the number of equivalents of a given ion in a solution is equal to the number of moles of that ion multiplied by its valence. For example, consider a solution of 1 mole of NaCl and 1 mole of CaCl2.

This projection is reached by using the estimated resident population, as of June 30 last year, and assuming certain growth factors, such as one birth every minute and 42 seconds and one death every two minutes and 52 seconds. The Australian Bureau of Statistics’ (ABS) population clock ticked into the new million around 3.45pm AEST on Wednesday, January 24. My Accounting Course  is a world-class educational resource developed by experts to simplify accounting, finance, & investment analysis topics, so students and professionals can learn and propel their careers.

Related Definitions

These examples are programmatically compiled from various online sources to illustrate current usage of the word ‘equivalent.’ Any opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Some terminology may vary depending on the type of entity structure. “Members’ capital” and “owners’ capital” are commonly used for partnerships and sole proprietorships, respectively, while “distributions” and “withdrawals” are substitute nomenclature for “dividends.”

By decomposing equity into component parts, analysts can get a better idea of how profits are being used—as dividends, reinvested into the company, or retained as cash. The 624,100 population increase over the past 12 months is equivalent to adding the population of Tasmania (572,800) in just one year. Two fractions are equivalent if the value, proportion, or quantity they represent is the same. Equivalent fractions can have different numerators and denominators.

It has no relevance from an operational perspective, nor is it useful for any other type of cost derivation other than process costing. Other companies group cash and cash equivalents together on the balance sheet and state them as one line item. There are generally two different ways to report cash equivalents on the balance sheet. Some companies state cash equivalents as a separate line item directly under cash on the face of the balance sheet. This allows investors and credits a look at what is actually in the company’s bank account and what are other liquid investments.

For a more specific breakdown of the components of equity, use the expanded equation instead. We could also use the expanded accounting equation to see the effect of reinvested earnings ($419,155), other comprehensive income ($18,370), and treasury stock ($225,674). We could also look to XOM’s income statement to identify the amount of revenues and dividends the company earned and paid out. Yes, equivalent fractions are the same as they are two different ways of representing the same concept. Equivalent ratios, sometimes known as equivalent fractions, are ratios that have the same proportion to each other when put in simplest form.

This annual growth is 41 per cent larger than the previous record when the population increased by 442,500 in 2009. These ratios can be multiplied or divided by their common factors, which can help simplify them. Equivalent ratios have different numbers in different forms, but their relationship is reflected only by their final value. The “hydrogen ion” and the “electron” in these examples are respectively called the “reaction units.” For another example, consider the balance sheet for Apple, Inc., as published in the company’s quarterly report on July 28, 2021.

What Is the Meaning of Equivalent in Math?

Overall, then, the expanded accounting equation is useful in identifying at a basic level how stockholders’ equity in a firm changes from period to period. Equivalent units is a cost accounting concept that is used in process costing for equivalent amount meaning cost calculations. It is used in the derivation of the ending value of inventory for a reporting period. It can also be applied to gain a general idea of the additional costs required to convert work-in-process into finished goods.

In simple words we can say that two things or quantities are equal when they are exactly the same like ½ is equal to ½ but ½ is equivalent to 2/4 as they represent the same value. Same, selfsame, very, identical, equivalent, equal mean not different or not differing from one another. In reaction stoichiometry, it is the amount of one substance that reacts with one mole of another substance. Equivalent concept is an archaic unit of measurement that was used in chemistry and the biological sciences in the era before researchers knew how to determine the chemical formula for a compound. Revenues and expenses are often reported on the balance sheet as “net income.”