Unlike variable costing, it covers fixed costs and inventories while calculating the cost per unit. This is not right because fixed costs remain the same regardless of the units produced. Under the absorption costing technique cost data are presented in the conventional form. Starting from the sales value of each product line, direct costs are… Read More
What is the Post Office Horizon IT scandal all about? Post Office
Whereas “credit card post date” refers to transactions you make, such as purchases, balance transfers, or cash advances, the payment posting date corresponds to when and how your credit card payments are applied to your account. Credit card posting refers to the act of updating your credit card account to reflect new transactions or payments…. Read More
11 2 The Balance Sheet Reporting of Intangible Assets Financial Accounting
In simple terms, all the subsidiary’s assets (inventory, land, buildings, equipment and the like) are given a fair value and recorded at that amount by the parent as the new owner. This process is referred to as the production of consolidated financial statements. Each intangible asset held by the subsidiary that meets certain rules is identified… Read More
The Cost of Goods Available for Sale and the Cost of Goods Sold
If the price of corn increases, farmers will look to grow more corn, decreasing the supply of soybeans. Thus, an inverse relationship exists before a good’s price and the supply of the producer’s substitute. In sec 2(6) of the Act, future goods have been defined as the goods that will either be manufactured or produced… Read More
Budget Variance: What is it and How to Calculate Variances
Once you have your financial data, the next step is to identify the variances by comparing the actual figures against the budgeted figures. For instance, if your variable manufacturing costs are higher than expected without a corresponding increase in revenue, you have an unfavorable cost variance. The best solution for avoiding budgeting variances is careful,… Read More
How much does a bookkeeper cost in 2023?
Our bookkeeping price packages are varied to give you several options. These services are customized to the exact needs of business owners. The on-boarding or Starter package pricing starts at $500/month, the Standard package is priced at $750/month, and the Pro package is priced at $1000/month. Starting at $299 our expert bookkeepers will help equip… Read More
Overdraft Explained: Fees, Protection, and Types
However, if any of a company’s accounts are in a cash overdraft situation at the end of its reporting period, it will need report the amount of the overdraft as a short-term liability. You generally are charged a separate fee for each purchase in excess of your account balance, though different institutions may handle their… Read More
Restrictive Endorsement Law and Legal Definition USLegal, Inc
Restrictive endorsements do not necessarily guarantee the end of negotiation, though. Perhaps an inattentive teller may not respond to the restriction properly, or perhaps the check might be deposited into another account other than that of the intoned payee. Such cases are more common when business accounts are involved, or when the payee has many… Read More
How to Determine Salvage Value If You Want to Keep Your Totaled Vehicle After an Accident
While the company possesses a unique product, its success hinges on maintaining a competitive edge and capturing a substantial market share. However, numerous well-established firms are also developing similar products and possess superior financial resources, brand recognition, and market presence. An arbitrary value assigned by the company to each share of stock; it is used… Read More
Revenue vs Income Difference, Calculation, Examples
When investors and analysts speak of a company’s earnings, they’re talking about the company’s net income or the profit. Conduct regular financial analysis to track key financial ratios, such as gross profit margin, net profit margin, and return on investment. Analyze trends and variances to identify areas for improvement and make data-driven decisions. Measures of income… Read More