Category Archives: Bookkeeping

The preceding example, which involves borrowing $500 from a friend and repaying the loan in full of $600, can be used to demonstrate how the formula functions. Through comprehension of the hidden interest rates present in these promotional offerings, customers … Continue reading →

Actual overhead and budgeted overhead based on standard hours allowed. Revenues minus accounting and opportunity costs. Revenues minus accounting costs only. A favorable variance could be caused by anything. However, the management of ABC Manufacturing would also need to understand … Continue reading →

This means companies previously run by the government are sold to private individuals or companies. Privatization involves the transfer of ownership and control of a state-owned enterprise (SOE) to the private sector. The private sector, while a significant economic engine, … Continue reading →

It helps in assessing the sustainability of dividend payments and the company’s ability to fund future operations and expansions. This transparency is vital for maintaining investor confidence and for making informed decisions regarding investments and resource allocation. The final component … Continue reading →

Imagine a consultancy firm agreeing to provide market analysis services to a client for a year. The client pays a monthly retainer fee to ensure continuous access to the firm’s expertise. Other professionals like financial advisors or accountants also employ … Continue reading →

Cloud-based accounting software offers SMBs many advantages, such as faster and less expensive implementation and reduced hardware costs. ZipBooks is top-rated small business accounting software that offers a variety of features to help small businesses manage their finances. There is … Continue reading →

So, the R2R cycle is the detailed stages that the R2R goes through from the beginning to its completion. Although there may be similarities in the industry-wide patterns of the Record-to-Report process, the stages may differ between companies. One of … Continue reading →

Fresh puzzles every day, no paywall. For multiple-word answers, ignore spaces. Use the search form below to uncover another clue that is giving you a hard time. Before each clue, we put the number & direction of it in the … Continue reading →

It is often used for unique or high-value items, such as artwork or custom-made products. It is relatively straightforward to calculate and understand, making it accessible for small businesses or those without specialized accounting knowledge. This can affect financial ratios … Continue reading →

Estimations of such losses often prove to be incorrect and normally are simply fixed in the period discovered. The likelihood of loss or the actual amount of the loss is still uncertain. Under U.S. GAAP, if there is a range … Continue reading →