Articles

What Is Goodwill? Business acquisition When you are buying a business, you have a purchase price of $80,000. When you look at the company’s reports, you see that its tangible assets (plant, machinery, land, buildings, equipment, stock, and so on) on..

Balance sheet, Income statement, and other financial reports is something that most individuals that deal with the business world are familiar with to some extent. As you might know, financial statements are usually prepared based on the accounting records for the..

When dealing with merchandise inventory, you might hear the term credit memo. What is the definition of a credit memo? What are these memos for? Let’s get to the bottom of it. Definition and meaning The definition of the term credit..

Definition and Explanation The definition of activity-based costing is a management accounting approach to the costing and monitoring of activities which involves identifying the activities the bring about specific costs. It is a costing system that focuses on activities performed to..

Definition What is the definition of standard costing? This is an accounting system based on the determination in advance of what the good should cost to produce and revenue per unit. In other words, the standard cost is a cost that..

The effective functioning of a company is possible with the availability of certain economic resources used for the production of products or the provision of services. In the financial world, everything that a firm has and uses in production is called..

Are you a small business owner that wants to better understand how to calculate sales tax? Maybe you are a consumer who wants to know how to calculate sales tax and know how much the product will end up actually costing..

Undoubtedly, the main indicator of the effectiveness of any business is its income and profitability. However, there is one more accounting indicator that can be used to judge the company’s success – this is cash flow. Looking at it, you can..

Definition The definition of outstanding checks is checks written by us and sent to the payee. If the payee has not deposited the check, it will not be reflected in our bank account and stay outstanding. It is considered to be..