The balance sheet is a reflection of the basic accounting equation. One side represents the assets of the business (buildings, inventory, vehicles etc), and the other side represents how those assets are funded (capital, retained earnings, loans, supplier credit etc.). Notice that owners equity includes amounts invested by the owners (capital) and profits of the […]

In its third year, TechX starts gaining traction in the market and earns a net income of $300,000. However, due to the losses in the first two years, the company still has negative retained earnings. Negative retained earnings refer to the total amount of loss posted by a company when it exceeds any previously recorded […]

This method updates data in real time, which allows businesses to get an accurate picture of their inventory levels at any given time. The perpetual inventory system is the process of keeping inventory records in real-time. The company updates its inventory account as master budget and when it makes new inventory purchases. On the other […]

Additionally, we’d like to see it improve its mobile app by adding accounting features, such as the ability to create and send invoices and accept online payments. If mobile accounting is a major consideration, consider QuickBooks Online or head to https://www.inkl.com/news/the-significance-of-construction-bookkeeping-for-streamlining-projects our list of the best mobile accounting apps. Construction accounting software can save you […]

You need enough money to cover your expensesuntil you get your next paycheck. Once you receive that paycheck,you can repay the lender the amount you borrowed, plus a littleextra for the lender’s assistance. Notes payable and accounts payable are both liability accounts that deal with borrowed funds. Many of us get confused about why there […]

When shipping with FOB (Free On Board or Freight On Board) arrangements, the buyer pays all shipping costs and additional charges as soon as the cargo is loaded on the boat. FOB shipping point (or FOB origin) is a shipping term that means the buyer fob shipping point means assumes ownership and liability of the […]

However, it also means that the buyer bears the risk of any issues that may arise during transportation, such as customs delays or damage to the goods. The key is to keep your shipping documents clear, maintain open lines of communication, and consult experts when necessary. Armed with this knowledge, you’re well on your way […]

Paid courses offer graded quizzes, projects, and a course certificate upon completion. This course lays out everything you need to know to make full use of Intuit’s Quickbooks Online cloud accounting software. We teach you the fundamental concepts of accounting and how they apply in handling your business transactions and preparing reports with QuickBooks Online. […]

These investments help businesses maintain modern, efficient, and safe work environments, especially as they grow or modify operations. While they’re most definitely both considered part of the asset category, current assets and plant assets don’t share all that much in common. Later on, the company will charge the depreciation according to the method of depreciation […]

Save up to 80% by switching to blank check paper, which eliminates the risks of storing pre-printed checks with sensitive bank details. VersaCheck is a complete check writing and printing solution that offers everything you need to format and print checks at home or for your business. This includes business check printers, MICR ink and […]