What does reserve mean?

British Dictionary definitions for reserve (1 of 2) 1 something kept back or set aside, esp for future use or contingency 2 (as modifier) a reserve stock More ...

What is a Medical Reserve?

Medical Definition of reserve (Entry 1 of 2) 1 : something stored or kept available for future use or need oxygen reserve — see cardiac reserve

What are reserves and why are they important?

This amount of money kept aside is termed as reserves. Reserves are a component of retained earnings. They help in fortifying the financial position of a company and can be used for various purposes such as expansion, stable dividend repayments, legal requirements, meeting contingencies, improving the financial situation, investments, etc.

What are the different types of reserves?

Examples – General reserve, Reserve for Dividends Equalization, Reserve for Expansion, Reserve for Increased Cost of Replacement etc. There are mainly 2 different types of reserves; Capital and Revenue. Reserves are shown on the liability side of a balance sheet under the head “Reserves and Surplus” along with capital.