The wages are given to the people who are involved in manufacturing activities, technical, manual and physical activities. The salaries are given to the people who are involved in administrative work like office jobs, etc.
Member of Legislative Assembly (MLA) is only responsible for a single constituency and is elected by the people. Member of Parliament (MP) is usually responsible for 7 to 9 constituencies in the district.
The depreciation amount provided on the asset using Straight Line Method is constant every year. Under Diminishing Balance Method, the profits earned on the asset during the earlier is less when compared to later years.
Sometimes the accountant forgets to record the transactions which are called as Errors of Omission. Errors of Commission occurs when the accountants commit errors in recording the transactions by posting one transaction in the other account.