While his friends saved pennies for video games, he mowed lawns to save for his first business. At 17, he owned a company that installed lighting in Houston homes. By the time he launched ScaleFactor in 2014, he had worked as an auditor at KPMG, and as a CFO at a small telecommunications company. In...Read More

The converse will be accurate if the company’s assets cannot cover the pension fund’s liabilities. Therefore, the OCI will reflect this funded position (surplus or deficit). Therefore, there is no reclassification adjustment for the years presented. Determine a reporting period An entity may refer to the combined statement as the Statement of comprehensive income. The...Read More

This means that 26.65% of every dollar XYZ Inc. earns gets spent on SG&A expenses. Take your learning and productivity to the next level with our Premium Templates. For this reason, it’s important not to get too hung up on a “good” SG&A number. Accounting for SG&A is relatively simple, though it’s important to separate...Read More

Every entry moves from the general journal to electronic ledger posting. The use of bookkeeping software tools helps make this process more accurate and less prone to errors. Posting is also used when a parent company maintains separate sets of books for each of its subsidiary companies. In this case, the accounting records for each...Read More

At the same time, Capital increased due to the owner’s contribution. Remember that capital is increased by contribution of owners and income, and is decreased by withdrawals and expenses. As business transactions take place, the values of the accounting elements change. Just checking in. Are you still watching? Well, in order to answer that question...Read More

XOA TAX addressed this by recording these expenses on the Balance Sheet, capitalizing equipment costs, and setting up a depreciation schedule. XOA TAX strategy improved financial report accuracy, reduced audit risks, ensured accounting compliance, and possibly offered tax advantages for Johnson, LLC. Friedman & Company CPA’s is dedicated to providing accounting, bookkeeping and tax solutions...Read More

By the end, you’ll have all the knowledge necessary to implement a well-structured chart of accounts that meets the unique needs of your non-profit organization. This how-to guide will walk you through setting up and using an effective chart of accounts specifically tailored for non-profits. First, let’s look at how the chart of accounts and...Read More

When an organization makes a large payment that covers several months, it could be considered a remeasurement of the Lease Liability and ROU Asset and should be accounted for as such. In this case one asset (pre paid rent) has been increased by 3,000 and the other (cash) has been reduced by a similar amount....Read More

Typically, in a semimonthly pay scheme, paychecks are deposited on the 15th and last day of the month. That means that you can end up being paid on any day of the week, depending on when the 15th and last days fall. If it falls on a weekend day, then it’s usually paid the Friday...Read More

Content Why Is Bookkeeping Important for Business? Open a business account in minutes #1 finance partner for tech & ecommerce startups Should I use an in-house bookkeeper or outsource? Easy Bookkeeping Tips for Small Business Owners FreeAgent brings all of your complex financial data into one easy-to-use system. Bookkeeping tasks such as explaining transactions, recording...Read More