Afterwards, withdrawal or dividend accounts are also closed to the capital account. The trial balance, after the closing entries are completed, is now ready for the new year to begin. We call this trial balance the post-closing trial balance. The fou... Read more
Current liabilities are due within one year and are listed in order of their due date. Long-term liabilities, on the other hand, are due at any point after one year. Fixed assets include land, machinery, equipment, buildings, and other durable, gener... Read more
When you balance your accounts, make sure there are no extra charges on there that you didn't authorize. If your debit card goes missing, make sure to contact your bank immediately so they can put a hold on your account.... Read more
If an employee tries to cash an expired paycheck, their bank can choose whether to cash it or not. Individuals can reduce surprise withdrawals in personal accounts by using online bill payment instead of issuing paper checks. The payment goes on the ... Read more
A company uses a cash over and short account to show a discrepancy between the company's sales records and other reported figures and its audited accounts. For example, if the cash in the register is less than the amount on your sales receipts, then ... Read more
Figure 12.1 "Examples of Cash Flows from Operating, Investing, and Financing Activities" shows examples of cash flow activities that generate cash or require cash outflows within a period. Figure 12.2 "Examples of Cash Flow Activity by Category" pres... Read more
Your statement will read $0 at the end of every month while you accept every type of major card brand as payment for your business. To check out this case study of a business that’s using the cash discount program. Keep 100% of your hard earned... Read more
Examples of capital expenditures include improving or purchasing assets such as property and equipment. For example, a plastic manufacturing plant may purchase property and infrastructure to expand its business capacity. All the expenses related to b... Read more
Profit is what you take home after deducting your expenses from your revenue. Here you’ll plan out how much profit you plan to make based on your projected revenue, expenses, and cost of goods sold. If the difference between revenue and expense... Read more
It could be an online forum, a monthly meeting, or even just a couple of friends traveling the same budgetary road. You need to know you're not the only person setting sane financial limits for yourself. You can also have accountability with your fru... Read more
