What Are The Objectives Of Financial Accounting?

If the company issues monthly financial statements, its income statement will report Insurance Expense which is one-sixth of the six-month premium. The balance in the account Prepaid Insurance will be the amount that is still prepaid as of the date of the balance sheet. Staff accountant is one of the most common job titles in […]

6 Common Types Of Bank Accounts

How Accounting Works What are basic accounting skills? Five Managerial Functions of Accounting are; Control of financial policy and formation of planning. This is a matter of preference, and as long as the trial balance is checked again after accounting for accruals and deferrals, their order does not matter. If the debit total and credit […]

Is Retained Earnings An Asset?

Both revenue and retained earnings are important in evaluating a company’s financial health, but they highlight different aspects of the financial picture. Revenue sits at the top of theincome statementand is often referred to as the top-line number when describing a company’s financial performance. Since revenue is the total income earned by a company, it […]

Bookkeeping Vs Accounting

Learn Quickbooks Remember, May 31st is when you will need to upgrade your product to continue using the services above without a glitch. However, if you cannot, then at least every 5 years. Any longer and you seriously risk major compatibility issues QuickBooks help that will cost you more in the long run. I personally […]

Why Are Employees The Most Valuable Intangible Assets?

Digital Asset An asset classified as wasting may be treated differently for tax and other purposes than one that does not lose value; this may be accounted for by applying depreciation. Inventory – trading these assets is a normal business of a company. The inventory value reported on the balance sheet is usually the Liability […]

3 Ways To Annualize A Percentage

Effective Annual Interest Rate For a stated monthly interest rate, there would be 12 period in a year. Annualizing an interest rate means determining the rate of interest over a year based on the periodic rate. When annualizing interest rates, you can multiply the interest rate by the number of periods per year, but that […]