Archive for the
‘Bookkeeping’ Category

However, an extremely high ratio might indicate that a business does not have enough capital to support its sales growth. Therefore, the company could become insolvent in the near future unless it raises additional capital to support that growth. If a business generates enough cash flows, then a part of that cash flow will be […]

Purchase Returns and Allowances is a contra account and is used to reduce Purchases. “The terms ‘periodic inventory system’ and ‘physical inventory’ are often used interchangeably, but they have distinct meanings. Physical inventory refers to the actual quantity of goods on hand at a given time, typically determined through a physical count. The perpetual system […]

Whether you are an entrepreneur seeking funding or an investor looking to allocate resources, it is essential to grasp the key differences between debt and equity. This article aims to provide a comprehensive overview of the disparities, advantages, disadvantages, and similarities between these two forms of financing. Equity financing is a completely different way of […]

Therefore, the riskier an investment, the higher the required rate of return and the higher the cost of capital. These cash flows can include revenues from the sales of products or services or cash from selling an asset. The CFn value should include both the estimated cash flow of that period and the terminal value. […]

Don’t check more than one box, unless the person was both an officer and a director/trustee of the organization during the tax year. For a former officer, director, trustee, key employee, or highest compensated employee, check only the “Former” box and indicate the former status in the person’s title. All organizations must answer this question, […]

The subtotal represents the total cost of all products before taxes and other levies. After you list all of the products, add up the amounts for the subtotal. There are multiple types of receipt books available in the market. Certain templates can make the job easier, so you don’t have to begin from scratch every […]

A comment suggested using the trade date if the pricing date is more than 14 days before the issue date because providing too long a period between the pricing and issue date may present an opportunity for abuse. Section 1.871–15(g)(2) provides that the delta of a potential section 871(m) transaction is determined only when the […]