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reserve fund vs allowance account

allowance account vs reserve fund

reserve fund and allowance account both are nouns.

Word NounAdjectiveVerbAdverb
reserve fund Yes No No No
allowance account Yes No No No
As nouns, allowance account is a hyponym of reserve fund; that is, allowance account is a word with a more specific, narrower meaning than reserve fund:
  • reserve fund: funds taken out of earnings to provide for anticipated future payments
  • allowance account: a reserve fund created by a charge against profits in order to provide for changes in the value of a company's assets
reserve fund (noun) allowance account (noun)
funds taken out of earnings to provide for anticipated future payments a reserve fund created by a charge against profits in order to provide for changes in the value of a company's assets
Difference between reserve fund and allowance account

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