This straightforward relationship between assets, liabilities, and equity is considered to be the foundation of the double-entry accounting system. The accounting equation ensures that the balance sheet remains balanced. That is, each entry made on the debit side has a corresponding entry (or coverage) on the credit side. To further illustrate the analysis of transactions […]

There are no unrecorded Receipts (Cr.) but if they did exist, they would be debited to the bank book. The other side of the entries will be taken to their relevant accounts, for instance, bank charges account. It must ensure that the bank book balance is taken for the last date of the previous month […]

This website provides preliminary and general information about the Securities and is intended for initial reference purposes only. This website does not constitute an offer to sell or buy any securities. No offer or sale of any Securities will occur without the delivery of confidential offering materials and related documents. This information contained herein is […]

A basic rule of thumb suggests that investors should look to buy premium bonds when rates are low and discount bonds when rates are high. Because premium bonds typically provide higher coupon payments, the biggest risk is that they could be called before the stated maturity date. Bonds Issue at discounted means that company sell […]

The classified income statement subdivides operating expenses into selling and administrative expenses. Thus, statement users can see how much expense is incurred in selling the product and how much in administering the business. Statement users can also make comparisons with other years’ data for the same business and with other businesses. Nonoperating revenues and expenses […]

In addition to payroll, OnPay also offers a suite of HR tools and benefits administration, making it a comprehensive solution for businesses looking for more than just payroll outsourcing. Features make a product, and users know the right features will boost productivity as well as create an overall experience, delivering value and functionality to the […]

You must return to the Chart of Accounts, add the account, and then come back and add the Transaction from Online Banking. Xero and QuickBooks Online differ when it comes to Adding a New Account. For example, if it’s the first time you’ve paid for a product or service. You can use the Report Center […]

If your ledger sheets will not be doubling as your customer statements, you don’t need to start a new sheet every month. Just keep a permanent ledger for each customer that maintains a running total of the customer balance. Your accounting software will probably include some type of disbursement and purchase journals customizable to your […]

The purpose of debit memos for business to business transactions is to rectify a billing error issued by one party to the other. In this case, the company issued a debit memo to note an incorrectly billed previous invoice. According to this invoice, the customer still owes $90 for the products it purchased from this […]

Investors can look at both types of turnover to assess how efficiently a company works. Reducing your company’s turnover rate can help boost employee morale, productivity, and your company’s bottom line. It is best to plot the ratio on a trend line, to spot significant changes over time. Also, compare it to the same ratio […]