Category: Bookkeeping

Ultimately, the choice between public and private accounting depends on individual career goals and personal preferences. Those seeking dynamic work environments and diverse experiences may prefer public accounting, while those valuing stability and work-life balance might lean towards private accounting. Each path offers unique advantages and challenges, making it important for professionals to carefully consider […]

When you start a new business, the opening balance for your account is usually zero – unless you spent money setting the business up. Any investments or loans will be entered as transactions during your designated financial period, so you don’t need to include them here. An opening balance refers to the amount of money […]

If a business’s growth rate is 7% per annum, it means that the business is expected to grow by 7% each year. In summary, “per annum” is a straightforward way to express that something happens once a year. Whether it’s about how interest is calculated or how income is reported, this term provides clarity in […]

It covers a range of topics, from how to calculate depreciation to which financial statements are required for governmental organizations. You’ll be asked to pass cpa exam in 3 months recall and apply financial reporting concepts and prove you have the knowledge required by CPAs. Some of the earlier study guide materials may not align […]

Such an amendment should be analyzed to determine whether it should be accounted for as a modification of the existing borrowing arrangement or an extinguishment of the existing arrangement and consummation of a new arrangement. Net realizable value (NRV) is the amount by which the estimated selling price of an asset exceeds the sum of […]

This method provides a more accurate picture of your financial position throughout the project lifecycle. Like I mentioned before, the data validation process is one where a lot of contractors can get tripped up, especially when it comes to those “ghost” transactions. Implement a monthly reconciliation process you can lean on to keep these ghost […]

Employers may also record accrued payroll using non-reversing adjusting entries. This example highlights the difference between the payroll expense and the accrued payroll Certified Bookkeeper account. Accrued payroll is a part of the payroll expense, and it is always a liability. Payroll taxes Small businesses not beholden to GAAP or IRS requirements can generally choose […]