Arquivos de Categoria: Bookkeeping

Normal Debit and Credit Balances for the Accounts

The net realizable value of the accounts receivable is the accounts receivable minus the allowance for doubtful accounts. A debit balance is an account balance where there is a positive balance in the left side of the account. Accounts that normally have a debit balance include assets, expenses, and losses. Examples of these accounts are […]

Book Value: Definition, Meaning, Formula, and Examples

If the market price for a share is higher than the BVPS, then the stock may be seen as overvalued. BVPS is typically calculated quarterly or annually, coinciding with the company’s financial reporting periods. In conclusion, the price-to-book value obtained suggests that the market could have undervalued the stock during that time. If we put […]

Capital Rationing: How Companies Manage Limited Resources

It allows businesses to maintain financial discipline, focus on projects with higher expected returns, and avoid unnecessary risks. Soft Capital Rationing – In contrast, soft capital rationing arises from a company’s self-imposed restrictions on capital expenditures. For example, a financially conservative company may set a high hurdle rate, requiring a projected return on capital that […]

ACCA MA Notes: E2d Variable overhead total, expenditure and efficiency variances

In this example, the variable overhead rate variance is positive (50 favorable), and the variable overhead efficiency variance is also positive (100 favorable), resulting in an overall positive variable overhead variance (150 favorable). It is entirely possible that an improperly-set standard number of labor hours can result in a variance that does not represent the […]

Xero Certification for Accountants & Bookkeepers

Join the 100,000+ #XeroCertified learners around the world  by starting your learning experience to certification here. Read on to hear just a few experiences, and how being #XeroCertified helps you support your clients. Certifications “When I was setting up my own bookkeeping practice I knew Xero would be my accounting software of choice. I jumped […]

Bookkeeping vs Accounting: Whats the Difference? Expert Careers

Many experienced and knowledgeable bookkeepers honed their skills with on-the-job training. In this post, we’ll cover the differences and similarities between accountants and bookkeepers and their services so you know which to hire. Budgeting involves setting limits on spending in areas like marketing or supplies, keeping your finances in control. Forecasting, on the other hand, […]

Accounting Services for small businesses Bookkeeping Outsourcing in Kiev Units Consulting Ltd Kyiv, Ukraine

Xero looks to be shaking up its pricing structure and strategy in the coming months. Currently, if you’re looking to sign up with the service in the US then the Early plan costs $11 per month. This gets you 5 invoices and quotes, lets you enter 5 bills and reconcile 20 bank transactions. Keep track […]

Profit Margin: Definition, Types, Uses in Business and Investing

Therefore, companies need to be mindful of how much profit they are making and ensure that they are not alienating their customers in the process. Margin is the portion of the selling price that is profit, while markup is the portion of the COGS that is profit. No matter which metric you use, it’s important […]

Net Book Value of Assets Financial Edge

It also may not fully account for workers’ skills, human capital, and future profits and growth. Therefore, the market value, which is determined by the market (sellers and buyers) and represents how much investors are willing to pay after accounting for all of these factors, will generally be higher. The figure that represents book value […]