Bookkeeping

Therefore, the seller should continue to report these goods in its inventory until January 2. The seller will be responsible for the shipping costs, which will be an expense in January when the sale is reported. The point at which the title and responsibility for transportation costs transfers is essential to the various forms of […]

This ensures all your finances are in the right place, and you can account for every dollar that comes in and out of the business. Some accounting systems also have mobile apps that you can check on your phone and see when payments and income come in. You should always send rent statements out on […]

You figure the depreciation rate under the SL method by dividing 1 by 5, the number of years in the recovery period. The result is 20%.You multiply the adjusted basis of the property ($1,000) by the 20% SL rate. You apply the half-year convention by dividing the result ($200) by 2. You figure the depreciation […]

In short, the introduction of stakeholders for the first time is typically the catalyst for private companies to transition from the single-step to multiple-step income statement. For public companies, there are strict reporting guidelines established where a single-step format is not even an option. Yet, from a practical perspective, the insights that can be obtained […]

Investing activities include purchases of speculative assets, investments in securities, or sales of securities or assets. These forecasts can be used for short- or mid-term planning, and assist with treasury objectives like debt management, funding, cash repatriation, investment and enablement of business growth. It’s a way to estimate future cash levels over a specific and […]

In other words, the giver of the benefit is a liability to the one who receives it. Debt can be defined as an amount that the company has undertaken from another organization (in most cases, this organization is a bank) for a specific purpose. For example, assets include Current Assets and Non-Current Assets, and within […]