AJE
Business & Finance abbreviation · Accounting
| Stands for | Adjusting journal entry |
|---|---|
| Categories | Business & Finance |
AJE stands for Adjusting journal entry, an accounting abbreviation.
Journal entry made at the end of an accounting period to record revenue and expenses in the correct period under accrual accounting, such as accrued wages, prepaid expenses, depreciation and unearned revenue. AJEs update the trial balance before statements are issued.
Example: The auditors proposed three AJEs, including one to accrue December's utility bills.
Usage notes
Often shortened to "adjusting entry." Auditors use AJE for corrections they propose and the client books, as distinct from passed adjustments that are noted but not recorded. Many adjusting entries are reversed at the start of the next period to simplify recording.
Related abbreviations
More accounting abbreviations
- ABC – Activity-based costing
- AFS – Available for sale
- AICPA – American Institute of Certified Public Accountants
- AOCI – Accumulated other comprehensive income
- AP – Accounts payable
- AR – Accounts receivable
- ASC – Accounting Standards Codification
- ASU – Accounting Standards Update
- B/S – Balance sheet
- BEP – Break-even point
- BV – Book value
- CECL – Current expected credit losses