Our services can help you streamline operations by managing your entire valuation process, ensuring accurate and up-to-date data for your investment portfolio. Our team is ready with the solutions you need to maximize your business performance and help you drive meaningful progress. Valuation models should be updated regularly, at least…

By reconciling accounts promptly, bookkeepers can maintain up-to-date and accurate financial records. Before computers and servers became widespread, accounting records were recorded on ledger paper by hand. Each account was manually transferred from the general ledger to T-accounts in order assembly reports and financial statements. Most of these accounting processes that were done manually in…

Accumulated depreciation is a contra asset account used to record the amount of depreciation to date on a fixed asset. Examples of fixed assets include buildings, machinery, office equipment, furniture, vehicles, etc. The accumulated depreciation account appears on the balance sheet and reduces the gross amount of fixed assets. Including…

Learn how to calculate and account for notes receivable discounts, including present value and amortization methods. The business notifies customers about the financing arrangement and provides payment instructions to settle invoices with the provider. The business receives an advance on the invoice face-value and the remaining balance (minus fees) once…

Indirect costs are often allocated to different products, services, or departments based on a predetermined formula or percentage. This allocation is essential for understanding the true cost of production and for making informed business decisions. The way these costs appear on my financial statements is also different. Direct costs show…

The three most common methods are First-In, First-Out (FIFO), Last-In, First-Out (LIFO), and Weighted Average Cost. The chosen method can significantly affect the COGS, gross profit, and ending inventory amounts. Inspecting Finished Goods also ensures regulatory compliance in certain industries where safety and quality are paramount. For example, in the…

Business owners can use it to evaluate performance and communicate with investors. A pro forma cash flow statement is a future projection of cash inflows and outflows for a business. Depreciation is an example of an item that affects net income, but does not affect cash flows. The depreciation during…

In summary, COGM links to COGS because COGS is the sum of COGM and the change in finished goods inventory during a given period. Use this information to evaluate the cost and profitability of producing and selling a product and make cost management and resource allocation decisions. The calculation starts…

Accounting software with payroll often includes tax compliance features such as automatic tax calculations, electronic tax filing, and updates on tax law changes. These features help ensure that your payroll processes adhere to federal, state, and local tax regulations. Some software also provides alerts for upcoming tax deadlines and generates…

Current liabilities are liabilities due within one year of a financial statement’s date. The term is sometimes used alongside “operating cost” or “operating expense” (OPEX). Students sometimes enter accounting programs with little technical knowledge. This guide serves as an easy-to-use resource for developing the vocabulary used by accounting professionals. This…