Due to agreed FOB shipping point terms, they’ll have no recourse to ask the seller for reimbursement. Assume a fitness equipment manufacturer receives an order for 20 treadmills from a newly opened gym located across the country. The articles and research support materials available on this site are educational and are not intended to be […]
You can’t deduct the part of the interest expense that represents your personal use of the car. Transportation expenses you have in going between home and a part-time job on a day off from your main job are commuting expenses. Figure B above illustrates the rules that apply for deducting transportation expenses when you have […]
You pay capital gains tax when you sell an asset and make a profit. Depending on how long an asset was owned before it was sold, capital gains taxes may be higher or lower. If you are selling an asset strategically, you can reduce or avoid capital gains taxes. Next Up in Business Real estate […]
Analysts carefully monitor the days outstanding numbers for signs of weakening business conditions. One of the first signs of a business downturn is a delay in the payment cycle. These delays tend to have ripple effects; if a company has trouble collecting its receivables, it won’t be long before it may have trouble paying its […]
Once they pass, they receive an email notification and an official digital certificate within two weeks. They may record transactions, manage general accounting ledgers, and create financial statements. According to the Bureau of Labor Statistics (BLS), bookkeepers earned a median annual salary of $45,560 as of May 2021. Understanding QuickBooks at this level means users […]
The company’s period costs are $169,800 ($147,300 operating expenses + $500 interest expense + $22,000 tax expense). The best way to calculate total period costs is to use your income statement as a checklist. Print out your income statement from your accounting software and add a small column to the right. Ask yourself whether each […]
The balance sheet is also referred to as the Statement of Financial Position. The expanded accounting equation goes hand in hand with the balance sheet; hence, it is why the fundamental accounting equation is also called the balance sheet equation. Any changes to the expanded accounting equation will result in the same change within the […]