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Non-recurring

Non-recurring refers to an event, expense, or item that does not happen repeatedly or is not expected to happen in future periods. It is often used in financial contexts to describe one-time events that lack the regularity of recurring transactions. non-recurring items can impact financial statements and budgeting considerations.

Non-recurring meaning with examples

  • The company reported a non-recurring loss last quarter due to an unexpected drop in asset value, which affected its overall net income but is not expected to affect future earnings.
  • In the context of budgeting, non-recurring expenses such as equipment purchases should be separated from ongoing costs to provide a clearer financial outlook for the year ahead.
  • The sale of a piece of real estate represented a non-recurring gain for the nonprofit organization, significantly boosting its revenue for that fiscal year without setting a precedent for future income.
  • During the annual financial review, the auditors highlighted several non-recurring expenses that could mislead stakeholders regarding the company’s sustainable profitability and operational performance.

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