It also lays the foundation for all your business’s important financial reports. In most cases, accountants use generally accepted accounting principles (GAAP) when preparing financial statements in the U.S. GAAP…
Your “furniture” bucket, which represents the total value of all the furniture your company owns, also changes. With this system, it is easy to ascertain the financial position of the…
Assets with accumulated depreciation are eliminated from the balance sheet when they are fully depreciated and sold. Any gains or losses from selling the asset will be reflected on the…
During this time, the deposit is said to be "in transit", which can take several business days to clear. Most banks will place a hold on a deposited transit check,…
ContentReporting Principles and RequirementsAccounting Principles and Internal ControlExample of Unearned RevenueFinancial Statements If you receive travel, transportation, or other business expense allowances or reimbursements from your employer, see Pub. Whether…
These aren’t typically a major source of income, depending on how much the company has invested, but because businesses can convert them quickly, they list them second. In terms of…
Here’s how to get started with choosing and setting up a new automated billing system. Keeping and losing customers could be as simple as keeping an even tone and smiling…
We’ll explore the basics of the LIFO inventory valuation method as well as an example of how to calculate LIFO. We’ll also compare the LIFO and FIFO inventory costing methods…
In simpler terms, non-cash charges are those expenses that don't involve actual money leaving the company's pocket. For example, a loss on the disposal of an asset that occurred this…
Unfortunately, general accounting solutions don’t offer ways to manage separate funds. This results in organizations trying to make square pegs fit in round holes, relying on a patchwork of solutions,…