Some of the tools for evaluating alternatives (e.g. partial budgets, cash flow budgets and financial statements), are covered in this text. Summarizes many cash activities and the related financial statement accounts used to analyze each listed activ... Read more
As consumers, we know insurance is not the most exciting product to buy and we don't always give it the thought it deserves. Expense-consciousness, whether coming from our own pockets or our businesses, can blind us from looking beyond the cheapest p... Read more
Managing working capital with accounting software is important for your company’s health. Positive working capital means you have enough liquid assets to invest in growth while meeting short-term obligations, like paying suppliers and making in... Read more
Your company reports the expense of $10,000 and denotes $12,000 as tax payable. It adds future economic value to your company, making it an asset. Deferred tax is caused by the temporary differences between book and taxable income, which are those di... Read more
In this lesson, you'll learn about the different types of bank assets and liabilities. We'll look at examples of bank assets and liabilities including a discussion of rate sensitive assets and liabilities. If the answer to any of these questions is y... Read more
In the example of the loan transaction above, the increase in cash would be recorded as a debit to the company's cash on hand, increasing it by the loan amount. When an accountant is executing a transaction on the balance sheet of a company, debits a... Read more
In short, the Imprest petty cash procedure is a rudimentary method for tracking petty cash disbursements. Find out more with our simple guide, starting with a quick overview of the meaning of Imprest. Read more
A historical cost is a measure of value used in accounting in which an asset on the balance sheet is recorded at its original cost when acquired by the company. ABC Company, based in Florida, purchased a building many years ago at a historical cost o... Read more
If you need to sell your 4 percent bond prior to maturity you must compete with newer bonds carrying higher coupon rates. These higher coupon rate bonds decrease the appetite for older bonds that pay lower interest. This decreased demand depresses th... Read more
These are the costs a company pays for holding inventory in stock before it is sold to customers. Macgregor Company completed its first year of... Stan Conner and Mark Stein were discussing the... Sales reported on the income statement totaled... Whe... Read more
