Category: Bookkeeping

We know from the accounting equation that assets increase on the debit side and decrease on the credit side. If there was a debit of $5,000 and a credit of $3,000 in the Cash account, we would find the difference between the two, which is $2,000 (5,000 – 3,000). The debit is the larger of…

With the provider and customer agreeing to delivery of a services or goods, at a specified time, for a specified price. These contracts will always cross over into another accounting period, often spanning a year or longer. Contract terms, fees, and requirements must be outlined and adhered to. Continuously review and adjust the company’s unearned…

The bank also can simply bounce the check without even trying to reach out, which means the depositor may get hit with a “deposit item returned” fee that can be up to $30 or more. Ruled that banks can retrieve funds after the issuer’s requested void period unless that person specifically instructed the bank not…

Regulators have also focused on the implications of mark to market accounting during periods of financial instability. The 2008 financial crisis, for instance, highlighted the challenges of valuing illiquid assets in turbulent markets. In response, both the FASB and the International Accounting Standards Board (IASB) have issued guidance to help entities navigate these complexities. This…

Gross profit tells you your business’s profitability after considering direct costs but before accounting for overhead costs. When a business owner makes an income statement for internal use only, income summary example they’ll sometimes refer to it as a “profit and loss statement” (or P&L). Often confused with income statements, the two are very different…

By tracking contra accounts, a company can make more informed decisions about asset management, liability settlement, and overall financial planning. The hottest retail item of today can be relegated to nostalgia channels on YouTube tomorrow. And when your business still has some of these outdated, unwanted, or unusable items in your inventory, you’ll want to…

However, if you don’t spend time on your finances, your practice might not increase its profitability. Don’t forget that professional https://www.bookstime.com/ accounting services can save you time and money. Plus, you won’t have to deal with the headaches of straightening out your books. Practice Proper Payroll Management Our bookkeeping specialists can handle these administrative chores…

It should be noted that 1-800Accountant has received around 260 complaints that were filed with the BB since September 2020. Of those complaints, around 85 were resolved satisfactorily, while the rest are still open or cited as unresolved by the client. Nevertheless, 1-800Accountant has an A- rating from the New York BBB. Our CPAs know…