How Do You Spell CARRY-FORWARD?

Pronunciation: [kˈaɹifˈɔːwəd] (IPA)

The spelling of the word "carry-forward" can be explained using IPA phonetic transcription. The first syllable "carry" is pronounced as /ˈkæri/, with the stress on the first syllable. The second syllable "for" is pronounced as /fɔː/, with a long o sound. The final syllable "ward" is pronounced as /wɔːd/, with a long o sound followed by a consonant cluster. The compound word "carry-forward" means to move something to a later time or period, such as carrying forward a balance on a financial statement.

CARRY-FORWARD Meaning and Definition

  1. Carry-forward, also known as carryover or carry forward, is a financial accounting concept that refers to the transfer of an unutilized amount from one accounting period to the next. This concept is commonly used to describe the practice of carrying forward certain items, such as losses, credits, or unused allowances, that can be utilized in future periods.

    In accounting, carry-forward typically occurs when an entity has incurred losses or generated excess credits or allowances in a particular financial period. Instead of discarding these amounts or treating them as expenses in that period, they are carried forward to offset against future income or liabilities.

    Carry-forward is often seen as a way to smooth out the effects of large fluctuations in profits or losses from one period to another. By carrying forward these amounts, companies can lessen the impact on their financial statements and show a more accurate representation of their long-term financial performance.

    The carry-forward concept is not limited to just financial accounting and is also applicable in other areas such as tax, where unused tax credits or deductions can be carried forward to the following years. Additionally, it can be used to describe the practice of transferring unused vacation or sick leave days to future years in employee benefit plans.

    Overall, carry-forward is a valuable accounting practice that allows unutilized amounts to be carried over to subsequent periods, ensuring a more realistic depiction of financial performance and allowing for the efficient utilization of resources in the long run.

Etymology of CARRY-FORWARD

The etymology of the word "carry-forward" can be traced back to its two constituent words: "carry" and "forward".

1. "Carry" comes from the Middle English word "carrien" which means "to transport, to convey". It has its roots in the Old North French word "carier" and ultimately derives from the Latin word "carrus", which means "cart or wagon".

2. "Forward" comes from the Old English word "foreweard", which means "toward the front". It can be further broken down into "fore" (meaning "in front") and "weard" (meaning "ward" or "toward").

When these two words are combined, "carry-forward" is formed, which refers to the act of transferring or moving something to a later time or period, especially in accounting or finance contexts.

Similar spelling words for CARRY-FORWARD