Bookkeeping 101

The trainee performs the opposite entry for an asset or expense account. In a financial glossary, terms such as “bookkeeper,” “accountant trainee” and “junior accountant” are interchangeable. In double-entry accounting, businesses can use any combina…

If you’re considering a career in accounting, it’s important to understand the many different options that are available to you. An accounting degree can lead you to many different types of accounting careers, and unique specializations like tax and …

Partners can take money out of the partnership from theirdistributive share account. Interest expenses are significantly depending on the entity’s financing strategy….

To the extent that such credits accrued or received by the non-Federal entity relate to allowable cost, these costs must be credited to the Federal awarding agency either as costs or cash refunds. The obvious problem with the cost principle is that t…

These solutions are integrated within your dashboard and you’ll access them both through your single Wave login. Wave offers personalized bookkeeping, accounting, payroll and tax assistance through its Wave Advisors service. Accounting that’s seamles…

A contra account is used in order to better portray the relationship between certain debits and credits within the overall financial structure of an entity. A contra account can be used to remedy an error, to track depreciation of an asset, or to reg…

Production managers and executives have to be keenly aware of their level of sales and how close they are to covering fixed and variable costs at all times. That’s why they constantly try to change elements in the formulas reduce the number of units …

Debit memorandums are not issued for normal debit transactions on an account, such as cashing a check or the use of a debit card. This requirement could come up when business / user has paid discount retroactively to a customer or given away or poste…

If a trial balance is in balance, does this mean that all of the numbers are correct? It is important to go through each step very carefully and recheck your work often to avoid mistakes early on in the process. Another way to find an error is to tak…

Creditors also rely on these metrics to determine whether they should extend credit to businesses. If a company’s financial leverage ratio is excessive, it means they’re allocating most of its cash flow to paying off debts and is more prone to defaul…