Accounting has become the most significant and basic function of any business operating in any industry, irrespective of business size. Either in-house or outsourced, every business and company needs an accountant to manage the financial data. But was accounting always there? It’s a question for many. The answer is that accounting has always existed in …
There are certain expectations and standards for students when they are choosing a career path and degree after high school. Many people and career guidance experts suggest going with your passion and pursuing a field that fits your interests. However, on the other side, many people exist who suggests going for a degree or career …
Every year, you have to pay income taxes, sales taxes, and a lot of other business taxes. It’s complex to understand the taxation system and how individuals are taxed by IRS. However, the complexity doesn’t undermine the need to understand taxes and how the taxes are applied. When we talk about businesses, payroll taxes are …
What Wages Are Subject To Social Security and Medicare IRS Tax? Read More »
Investors invest in companies expecting returns and income. Usually, companies pay dividends which can constitute earnings for investors. On top of that, some companies may also provide capital gains through increasing share prices. However, investors must first investigate the company to ensure it can offer those returns. The primary source they can use is the …
Why Income Statement is Important? 5 Points You Should Know Read More »
Companies need to follow accounting principles and guidelines while reporting financial information. Generally accepted accounting principles (GAAP) and International Financial Reporting Standards (IFRS) provide principles and procedures to guide the preparation of financial statements. IFRSs are standardized accounting principles adopted by countries across the world. Historically, there have been locally accepted accounting regulations. However, the …
Principles Of Financial Accounting (The Key Principle You Should Kow) Read More »
Basic Principles of Accounting are important guidelines that ensure that all businesses have financial statements prepared similarly. In this regard, it is rudimentary to understand that these guidelines are mostly unanimously applied across accounting bodies of all countries, which follow the IFRS (International Financial Reporting Standards). What is meant by Accounting Principles? Accounting Principles are …
What are the Accounting Principles? (12 Frequently Use) Read More »
Definition of Materiality Materiality is one of the most important concepts in accounting. It is simply a measure of the impact of any financial misstatement on the decision-making ability of the given user. In this regard, it is important to note the fact that materiality is not a single ballpark figure. In fact, it is …
What Does Materiality Mean in Accounting? (Definition, Explanation, and Examples) Read More »
What is Cost Accounting? Cost Accounting is referred to as a branch of managerial accounting, which mainly aims to encapsulate all costs within a company, by assessing variable costs along with each step of production. It is considered to be a metric that helps companies to make informed decisions that are backed by reliable quantitative …
Cost Accounting – Types, Example, Advantages, and More Read More »
Definition: Accounting conventions are a set of industry best practices adapted by company requirements to serve as guidelines to record financial transactions of the company. The accounting conventions play a crucial role in the transition to record financial transactions as per accounting standards in the company’s accounting system. Accounting conventions do not have any legal …
What are Accounting Conventions? What Are the 4 Accounting Conventions? Read More »
Introduction Over the course of time, it can be seen that the role of accountants has magnified to an utmost extent. This is primarily fueled by the increasing need of the hour to facilitate awareness on the part of stakeholders, to ensure that there are no stones unturned in this aspect. With cases like Enron …
