Bookkeeping

Vertical analysis can guide decision-making processes by providing insights into the financial implications of various options. Whether you’re considering cost-cutting measures, pricing strategies, or investment decisions, vertical analysis helps evaluate the potential impact on key line items. By analyzing these ratios using vertical analysis, you can evaluate a company’s financial position, leverage, and liquidity. The …

Vertical Analysis of Balance Sheets and Financial Statements Читать полностью »

In addition, changes to the relevant range may change, meaning fixed costs can even change. This makes it almost impossible to always have a most up-to-date, accurate breakeven point. The break-even point formula is calculated by dividing the total fixed costs of production by the price per unit less the variable costs to produce the …

Break-Even Point: Formula, Calculation, and Why it Matters Читать полностью »

Economic entities are any organization or business in the financial world. For the past 52 years, Harold Averkamp (CPA, MBA) hasworked as an accounting supervisor, manager, consultant, university instructor, and innovator in teaching accounting online. For the past 52 years, Harold Averkamp (CPA, MBA) has worked as an accounting supervisor, manager, consultant, university instructor, and …

2 4: The Basic Accounting Equation Business LibreTexts Читать полностью »

By contrast, a reverse stock split occurs when a company seeks to elevate its share price. Often, a company does this to meet listing requirements, which often require a minimum share price. While shares outstanding account for company stock that includes restricted shares and blocks of institutional shares, floating stock common stock outstanding formula specifically …

Shares Outstanding: Types, How to Find, and Float Читать полностью »

To make this easier to understand, let’s think about annuity due as the bills usually due at the beginning of the month (or the designated period). Usually, rent, mortgage, car payments, and insurance are due on the first of the month. The fact that a renter or car owner makes payment on December 1 before …

Future Value of an Ordinary Annuity: Definition and How to Calculate It Читать полностью »

The asset would also be removed from the fixed asset list (subsidiary ledger) since it no longer physically exists (except maybe as a rusting piece of junk in the junkyard). Alternatively, if the sale amount is only $6,000, the company fixed assets accounting entries ABC Ltd. will make a loss of $375 (6,375– 6,000) on …

Revaluation of Fixed Assets Journal Entries Examples Читать полностью »

It can also be used to better understand what should be done to be better as an organization. Present the audit findings, recommendations, and any necessary corrective actions to the HOA board members and managers. Emphasize the importance of implementing the suggested improvements for enhanced financial transparency and accountability. Once all of the financial records …

How to Perform an HOA Audit: A Step-by-Step Guide Читать полностью »

In addition to a 10-K, companies are also required to publish a 10-Q and 8-K report. Gives highs and lows of stock, in a simple statement.Market for Registrant’s Common Equity, related stockholder matters and issuer purchases of equity securities. This section lays out the significant properties, physical assets, of the company. This only includes physical …

Form 10-K SEC Annual Report Filing + Example Читать полностью »

Finance Strategists is a leading financial education organization that connects people with financial professionals, priding itself on providing accurate and reliable financial information to millions of readers each year. The articles and research support materials available on this site are educational and are not intended to be investment or tax advice. All such information is …

Prudence Principle of Accounting a Closer Look With Example Читать полностью »