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Can anyone explain to me what a Negative Accumulated Deficit means in a liability account? As I understand it an Accumulated Deficit is the opposite of retaine
by loourr 9y ago
Can anyone explain to me what a Negative Accumulated Deficit means in a liability account?
As I understand it an Accumulated Deficit is the opposite of retained earning so a loss. But losses are positive values in liability accounts so we should invert it again and get back to an Accumulated Deficit. But instead of SnapChat adding this amount to their liabilities they're using it to reduce their it to reduce their equity.