Category: Bookkeeping

Collecting accounts receivable is critical for a company to pay its obligations when they are due. Now we can use this ratio to calculate Maria’s average collection period ratio which would reveal the average number of days the company takes to collect a credit sale. We can do so by dividing the number of days… Continue reading What is the accounts receivable turnover ratio?

On the other hand, the borrowing of $60,000 had a favorable or positive effect on the corporation’s cash balance. The bookkeeping and payroll services net result of the four financing activities caused cash and cash equivalents to increase by $28,000. Note that the $95,000 appears as a negative amount because the outflow of cash for… Continue reading Understanding Comprehensive Income: Key Components and Financial Impact

An easy way to remember this is that you should always use the bottom-most Net Income figure on the Income Statement to calculate EPS. Shaun Conrad is a Certified Public Accountant and minimum level of stock explanation formula example CPA exam expert with a passion for teaching. After almost a decade of experience in public accounting,… Continue reading Earnings Per Share EPS: Meaning, Formulas, And Types Explained

“I didn’t take Social Security until I turned 70, to maximize my benefits, and 85 percent of that is taxed. State income tax reductions for middle-income earners that were scheduled to be implemented between 2018 and 2025 were accelerated to 2023. Louisiana lawmakers repealed the state’s throwout rule, ending the taxation of so-called “nowhere income.”… Continue reading New York Tax Rates & Rankings New York Taxes

A financial professional will offer guidance based on the information provided and offer a no-obligation call to better understand your situation. Our writing and editorial staff are a team of experts holding advanced financial designations and have written for most major financial media publications. Our work has been directly cited by organizations including Entrepreneur, Business… Continue reading What is Market Rate Definition of Market Rate

It usually occurs when you use data from different periods. For example, if you mistakenly mix your monthly costs with annual production figures while calculating CPU; it can lead to discrepancies. Hence, ensure that the period for which you consider the total cost of production aligns with that of manufacturing to maintain consistency and accuracy… Continue reading Cost Per Unit: Definition, Formula, & Examples

Experts wanting to share their knowledge can join discussions outside a formal setting like a seminar or convention. Since there are no time constraints, professionals and even big names in the industry can contribute to discussions at their own time and availability. QuickBooks Community is a dedicated space for QuickBooks users and accounting professionals to… Continue reading The 10 Best Accountants Forums for Accounting Advice