An individual course with multiple video lessons is accessible for each software title. Financial Accounting explores topics in bookkeeping and helps students understand financial and accounting principles. Topics covered in this graduate-level course include accrual accounting, financial ratios, inventory, revenue recognition and long-term debt. The curriculum includes lecture notes students can download and study. To follow along, students are encouraged to acquire the textbook Financial Acco […]
You will see on this table that the smallest samples are still around 100, and the biggest sample is still around 1000. The same general principles apply as before – if you plan to divide the results into lots of sub-groups, or the decisions to be made are very important, you should pick a bigger sample. You plan to divide the sample into many different groups during the analysis (e.g. different age groups, socio-economic levels, etc). Selections are taken from the population at fixed intervals […]
Even though there is no cash inflow, the company records the credit of interest income here in the amount of the present value multiplying with the discount rate. This is the concept of the time value of money in which the present value of the note will increase bit by bit as the time passes until it reaches the end of the note maturity when the note is honored. Zero interest bearing notes are those debt instruments (more…) […]
The relevant areas of concern may include the financial, legal, labor, tax, IT, environment and market/commercial situation of the company. Other areas include intellectual property, real and personal property, insurance and liability coverage, debt instrument review, employee benefits and labor matters, immigration, and international transactions. Areas of focus in due diligence continue to develop with cybersecurity emerging as an area of concern for business acquirers.
A mutual fund with a beta of 1 means its underlying investments move in line with the comparison benchmark. A beta that is above 1 results in an investment that has more volatility than the benchmark, while a negative beta means the mutual fund may have fewer fluctuations over time. Conservative investors prefer lower betas and are often willing to accept lower returns in exchange for less volatility. The conditional expected excess return on the U.S. stock market varies over long horizons and […]
Funds Trading in Bitcoin Futures Read our Investor Bulletin if you are considering a fund with exposure to the Bitcoin futures market. In addition, a company’s CEO and CFO must certify that the 10-K is both accurate and complete. These are called Sections 302 and 906 certifications, and you can usually find them in Exhibits 31 and 32.
And finally, investors should take a look at the cash flow statement to make sure the cash coming through the door is from the business’s operations, […]
Cash Flow StatementA Statement of Cash Flow is an accounting document that tracks the incoming and outgoing cash and cash equivalents from a business. Below are an example and screenshot of what this section looks like in a financial model. Notice how every year the company has “Investments in Property & Equipment,” which are its capital expenditures. Way holds a Master of Business Administration in finance from Central Michigan University and a Master of Accountancy from Golde […]
If a company is paying dividends, they’re subtracted from the net income or profit before calculation. Since it is a small company, there are no preferred shares outstanding. Quality Co. had 5,000 weighted average shares outstanding during the year. You’ll notice that the preferred dividends are removed from net income in the earnings per share calculation. This is because EPS only measures the income available to commonstockholders. Preferred dividends are set-aside for the preferr […]
Many applications connect with your business’s checking account so you don’t have to manually record entries. The cash flow statement only shows transactions that have actually been monetarily completed for operating, investing and financing activities. If you use cash accounting, you record your transaction when cash changes hands. As a partial check that the posting process was done correctly, a working document called an unadjusted trial balance is created. Column One contains th […]
These costs are then used to calculate the equivalent units and total production costs in a four-step process. An equivalent unit is a term used to describe work-in-progress inventory units at the end of a specific time period. It defines the number of completed units of a particular item that the company could have produced, given the amount of costs that were incurred during that time period for all items not yet completed. This lesson introduces the topic of equivalent units and demonstrates […]
