Journal entries and attached documentation should be retained for a number of years, at least until there is no longer a need to have the financial statements of a business audited. The minimum duration period for journal entries should be included in the corporate archiving policy. It all depends on…
Revenue is the total amount of income generated from sales in a period. Revenue is also called net sales because discounts and deductions from returned merchandise may have been deducted. If the asset is fully paid for upfront, then it is entered as a debit for the value of the asset…
In either case, the funder has to be compensated in some form for the funds that he has provided. Not only corporations but an individual also pay interest to the lenders or banks for the loan taken by him. Banks usually pay interest to their customers for the savings made…
Generally, CPAs enjoy considerably more job opportunities than non-CPAs, including careers with government agencies, public corporations and private accounting firms. This abundance of opportunities also improves your opportunities for career advancement compared to accountants without the CPA credential. Naturally, if you legally cannot perform a certain task, like filing reports…
You will be more than happy to work with a company that is loyal to its creditors and deliver on time. The receivables turnover ratio tells you how fast a company collects money from its customers. A high receivables turnover ratio means that the company is managing its receivables quickly,…
For example, hourly rates should be fine if your company only has simple needs and doesn’t mind doing without a dedicated point person for financials. Outsourced bookkeeping is an option if you want to outsource your books and you have a small business. If you don’t have time to do…
Setting clear targets, quickly sending out invoices and using the latest technology can all help you to better manage your small business’ cash flow. Poor cash flow management is one of the main reasons that 50% of small businesses fail during their first five years. Make sure yours isn’t one…
•Full responsibility for the accounting, financial and tax reporting, month-end and year-end period closing, bookkeeping, cash flow forecast under the current legislation and the Group policy. • Coordination, management and control of all financial activities and processes in the company, ensuring that all transactions are timely and accurately reflected in…
Thanks to increased working capital and robust cash flow, Schlumberger plans to carry out its stock buyback program and give back about $2 billion to shareholders this year. Below is the cash flow statement from Apple Inc. (AAPL) according to the company’s 10-Q report issued on June 29, 2019. Texas…
A guarantee is when a secondary firm assumes duty for an obligation or debt that the original company’s economic resources cannot cover. In most cases, the guarantor business is a related party or one that benefits from the success of the defaulting business. If you want to learn more about…