---
title: Glossary
description: Plain-English definitions of accounting and ERP terms: GRN, MIN, MRN, trial balance, withholding tax, NTN, STRN, EOBI, reconciliation and more.
url: https://docs.tryaxo.com/glossary/
updated: 2026-10-04
---

# Glossary

*Plain explanations of the accounting and AXO terms used in these docs.*

- **Accounts payable** — Money you owe suppliers.
- **Accounts receivable** — Money customers owe you.
- **Ageing** — How long amounts have been owed, grouped into bands such as 1–30 days.
- **Approval** — A sign-off by someone with authority before a document can move on.
- **BOM (bill of materials)** — The list of components and quantities that make up one unit of a product.
- **Chart of accounts** — The full list of accounts your entries post to.
- **Credit note** — A document that reduces what a customer owes.
- **Cut-over date** — The date you stop using your old system and start using AXO.
- **Double-entry** — Every transaction is recorded on two sides, so debits always equal credits.
- **Drill down** — Clicking a figure to see the entries behind it.
- **EOBI** — Pakistan's Employees' Old-Age Benefits Institution contribution.
- **Fiscal year** — Your company's financial year — in Pakistan usually July to June.
- **GRN (goods received note)** — A record of goods that actually arrived from a supplier.
- **Journal entry** — A balanced record of a transaction in the ledger.
- **Ledger** — The complete record of every posted transaction.
- **MCP** — A standard way for AI assistants to use outside tools, such as AXO.
- **MIN (material issue note)** — A record of stock taken out of inventory for a job.
- **MRN (material return note)** — A record of unused material returned to stock.
- **NTN** — National Tax Number, issued by FBR in Pakistan.
- **Period close** — Locking a finished month or year so its figures can't change.
- **Posting** — Recording a document in the ledger. Posted entries can't be edited.
- **Reconciliation** — Matching your bank statement to your books.
- **Reversal** — An equal and opposite entry that cancels a posted one.
- **STRN** — Sales Tax Registration Number in Pakistan.
- **Trial balance** — A list of every account's balance; total debits equal total credits.
- **Withholding tax (WHT)** — Tax deducted at source from a payment and paid to the tax authority.
- **Work in progress (WIP)** — The cost of work started but not yet finished.