Bookkeeping

After all income statement accounts are closed to the income and expense summary account, the latter’s balance will determine whether there is net income or net loss. All temporary accounts with a credit balance, particularly the income accounts, are debited while the income and expense summary account is credited. In a service company, after all […]

Your virtual bookkeeper categorizes your transactions and prepares financial statements for your business. A bookkeeper provides critical services to keep your business finances in order. Small business owners and solo entrepreneurs may take on bookkeeping tasks themselves, but it can cost a lot in effort and time away from the heart of their business. Bench

For example, let’s assume that a company manufactured 2000 motorcycles for this year and 30% of motorcycles were lost due to defects. If these defects are non recurring then such units should be excluded from equivalent production. Equivalent units is a cost accounting concept that is used in process costing for cost calculations. It is

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When you deposit money, you create credits and debits. The same goes for when you borrow and when you give up equity stakes. However, your friend now has a $1,000 equity stake in your business. With the loan in place, you then debit your cash account by $1,000 to make the purchase. Liabilities work in

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One of these adjustments is for unearned revenue, or deferred revenue, that records the liabilities a business has to its clients who have paid for goods and services in advance. Since the seller is expected to receive advance payments for quick orders or subscriptions with regular service delivery, it is recorded as a current liability

Each period the interest expense (4,249) is the interest paid to the bondholders based on the par value of the bond at the bond rate (4,800) less the premium amortized (551). When a bond is sold at a discount, the amount of the bond discount must be amortized to interest expense over the life of

Depending on your requirements, we can work for a short period or on a regular basis. Many companies have chosen us to help them integrate QuickBooks bookkeeping software into their bookkeeping strategy. Our professionals provide one-on-one training to help you master the foundation of QuickBooks and keep your financial statements in order. The employees of

This is because it recognizes revenue when earned and expenses when incurred, regardless of when cash changes hands. Kruze Consulting’s resource on accounting methods provides a deeper dive into this topic. The model includes everything from cash bookkeeping and payroll services flow projections to balance sheets, and all financial results are automatically generated. Understanding Cash