Kategori: Bookkeeping

Market demand may increase the stock price, which results in a large divergence between the market and book values per share. Say, for example, that in the XYZ case the company buys back 200,000 shares of stock and there are still 800,000 outstanding. https://www.business-accounting.net/ In addition to stock repurchases, a business may raise BVPS by…

Emotional support animals (ESA), which provide comfort but aren’t trained for specific tasks, usually don’t qualify for the same tax deductions. The same could be true if your adorable dog is the star of your monetized YouTube channel. Just be sure to keep accurate records of every expense related to your pet and the activity…

Other measures of liquidity and solvency that are similar to the current ratio might be more useful, depending on the situation. For instance, while the current ratio takes into account all of a company’s current assets and liabilities, it doesn’t account for customer and supplier credit terms, or operating cash flows. The cash asset ratio,…

It’s a temporary account where we close all income and expenses and then transfer its balance to the capital accounts. Always foot the debit and credit columns to ensure the equality of debits and credits. Every journal entry in the general ledger will include the date of the transaction, amount, affected accounts with account number,…