Bookkeeping

It’s essential for businesses to devote time and money to keeping accurate financial reports. Ultimately, when you have a balanced bookkeeping system, you can rest assured record keeping for small business that you also have an accurate indicator of measurable success. In doing so, businesses of all sizes and ages…

This blogpost only scratched the surface on IRS Form 941. There’s even more to know about the form, reporting schedules, corrections, and other forms and taxes that must reconcile with Form 941. Investing in a payroll resource guide can be an excellent way to keep up to date with all…

Although Coca-Cola and your local fitness center may be as different as chalk and cheese, they do have one thing in common – and that’s their accounting equation. Incorrect classification of an expense does not affect the accounting equation. The 500 year-old accounting system where every transaction is recorded into…

Tata Steel initially bid $13bn for Corus to tap the European market and secure technology benefits. Following a highly competitive auction process, Tata Steel was able to win after showing a quite optimistic view of the asset. Although “people with disabilities” sometimes refers to a single population, this is actually…

Manual journal entries were used before modern, computerized accounting systems were invented. The entries above would be manually written in a journal throughout the year as business transactions occurred. These entries would then be totaled at the end of the period and transferred to the ledger. What are the major…

By doing this, you can track the record of every customer; their opening and ending balances as well as how much you owe or have to pay. Secondly, then you will make a control account in which you put the summary amount- total sales with its invoice price, total collections,…

Given how the CM examines the product-level breakdown of each dollar that comes in and how it contributes to generating profit, the break-even point (BEP) cannot be calculated without determining the CM. The interesting thing about contribution margin ratio is that you can perform the calculation anytime to achieve a…

Given how the CM examines the product-level breakdown of each dollar that comes in and how it contributes to generating profit, the break-even point (BEP) cannot be calculated without determining the CM. The interesting thing about contribution margin ratio is that you can perform the calculation anytime to achieve a…

Is a debtor an asset? For some companies, debtors may not play a huge role in the daily workings of the business. When a company gets into financial trouble as a result of the money that is owed to them, this debt can be sold to a third-party debt collector.…

Instead, you could look at the EPS trend over time to see if the company is on its way to becoming profitable, or evaluate other metrics like revenue growth, customer acquisition, book value, etc. As noted in the discussion surrounding anti-dilutive shares, a company can post a net loss, or…