Accounting Tools

MAY 21, 2023

An insurance premium is the cost required to obtain insurance coverage. The insured party pays the premium to the insurer either in advance of coverage or over the course of the coverage period. Related Courses Business Insurance Fundamentals What is an Insurance Premium?

Accounting 40

Accounting Accounting 40

Accounting Tools

JULY 16, 2023

On the income statement, it is listed as depreciation expense , and refers to the amount of depreciation that was charged to expense only in that reporting period. Related Articles Book Depreciation Depreciation Methods Is Depreciation a Direct Cost or Indirect Cost? The differences are noted below.

Auditing 75

Auditing Accounting Accounting 75

Accounting Tools

JUNE 15, 2023

The policy sets forth the risks covered, the duration of the coverage period, the coverage to be provided, the amount of any deductibles, and the premium payments to be made by the insured party to the insurer. When a customer wants a customized adjustment to a policy, it is attached as a rider to the policy.

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Accounting Tools

NOVEMBER 8, 2023

Prepaid insurance is the fee associated with an insurance contract that has been paid in advance of the coverage period. Thus, prepaid insurance is the amount expended for an insurance contract that has not yet been used through the passage of the time period stated in the contract.

Bookkeeping 40

Bookkeeping Billing Accounting Accounting 40

Accounting Tools

AUGUST 5, 2023

Related Courses Business Ratios Guidebook The Interpretation of Financial Statements What is the Dividend Coverage Ratio? The dividend coverage ratio measures the number of times that a company can pay dividends to its shareholders. Related Articles Dividend Payout Ratio Dividend per Share Dividend Yield Ratio

Financial Statements 40

Financial Statements 40

Counto

FEBRUARY 14, 2024

Termination Rights: The Act delineates termination procedures, specifying notice periods and grounds for dismissal, ensuring fairness and transparency in employment cessation. This includes professionals like lawyers, doctors, and accountants, who wield supervisory or executive functions and possess authority in decision-making realms.

Payroll 52

Payroll Financial Statements Accounting Accounting 52

Accounting Tools

MAY 19, 2023

A deferred cost is a cost that you have already incurred, but which will not be charged to expense until a later reporting period. Related Courses Cost Accounting Fundamentals Cost Management Guidebook What is a Deferred Cost? In the meantime, it appears on the balance sheet as an asset.

Financial Reporting 74

Financial Reporting Cost Accounting Accounting Accounting 74

Accounting Tools

JULY 18, 2023

Business interruption insurance is designed to provide compensation to an organization if a designated disaster shuts down its operations for a period of time. It can be expensive insurance for manufacturers, which have a larger base of fixed costs to cover during periods when they are inoperable.

Payroll 40

Payroll 40

Accounting Tools

SEPTEMBER 12, 2023

A customer demands a one-year warranty on a product purchased from a supplier , which shifts the risk of product failure to the supplier for that one-year period. Demand that the business to be named as an additional insured on another party's insurance policy, thereby extending insurance coverage to the business.

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Accounting Tools

MAY 4, 2024

All of these ratios can then be compared to the results from prior periods, as well as the same information reported by competitors, to judge the relative position of a company. This ratio may be too conservative, especially if receivables are readily convertible into cash within a short period of time. Inventory turnover.

Accounting 40

Accounting Accounting Financial Statements Accounts Receivable 40

Accounting Tools

MARCH 5, 2024

Use the fixed charge coverage ratio to conduct this analysis. This means that some production-related fixed charges are essentially being capitalized and not charged to expense until a future period, when the associated production units are sold.

Cost Accounting 40

Cost Accounting Budgeting Accounting Accounting 40

Accounting Tools

MAY 13, 2024

Horizontal Analysis Horizontal analysis involves the side-by-side comparison of the financial results of an organization for a number of consecutive reporting periods. This analysis typically includes a review of the debt to equity ratio, as well as the interest coverage ratio. The types of financial analysis are as follows.

Financial Analysis 40

Financial Analysis Financial Statements Accounts Payable Accounts Payable 40

Accounting Tools

OCTOBER 7, 2023

You should defer expenses when generally accepted accounting principles or international financial reporting standards require that they be included in the cost of a long-term asset and then charged to expense over a long period of time. Related Articles Incurred Cost Unexpired Cost

Financial Statements 75

Financial Statements Cost Accounting Financial Reporting Accounting Software 75

Accounting Tools

AUGUST 24, 2023

Depreciation Cost The company incurs a depreciation charge in each period for all storage space, racks, and equipment that it owns in order to store and handle inventory. Insurance Cost The company should have insurance coverage for its inventory asset. If so, the cost of insurance related to this coverage is a holding cost.

Payroll 40

Payroll Tax Accounting Accounting 40

Accounting Tools

JULY 26, 2023

How to Calculate Dividend per Share To calculate dividend per share, add together the sum of all periodic and special dividends in a year, and then divide by the weighted average number of common shares that were outstanding during the same period. This is because there is no assurance that these special dividends will be issued again.

Financial Statements 40

Financial Statements 40

ProsperOps

DECEMBER 13, 2023

In this article, you’ll learn more about Compute Savings Plans and how ProsperOps can help you optimize your cloud cost strategy. Multiple factors need to be considered, such as commitment period, discount savings plan rates, and flexibility in resource use. This is because AWS applies RI discounts before Savings Plan discounts.

Computation 130

Computation Budgeting Billing 130

Counto

FEBRUARY 4, 2024

Fixed Expenses Fixed expenses, also known as overhead, remain consistent over reporting periods. These costs tend to stay the same for an extended period, providing stability to your budget. Variable Expenses Variable expenses fluctuate throughout the reporting period. Examples include rent or insurance payments.

Payroll 52

Payroll Budgeting Tax Auditing 52

Accounting Tools

JUNE 14, 2023

For example, a warehouse could measure fulfillment days, while a retail store could measure period-to-period changes in sales, a website could measure page views, a human resources department could track gender diversity, a call center could measure employee turnover, and a hospital could track emergency room wait times.

Computation 40

Computation Customer Service Collections 40

Accounting Tools

OCTOBER 7, 2023

Types of Financial Ratios The categories of financial ratios that are used for analysis purposes are noted below, under the categories of performance ratios, liquidity ratios, leverage and coverage ratios, and activity ratios. The most common of these ratios are the debt to equity ratio and the times interest earned ratio.

Financial Statements 40

Financial Statements General Ledger Financial Analysis Customer Service 40

Counto

JANUARY 10, 2024

Enhanced Training Support for Small and Medium Enterprises (ETSS): ETSS provides an additional 20% subsidy on top of the baseline course fee subsidies, totalling up to 90% coverage of course fees. Sole proprietors meeting general eligibility criteria and non-business entities not registered with ACRA can also apply.

Payroll 52

Payroll AP Collections Accounting Software 52

Counto

APRIL 15, 2024

Importance of Accurate Classification Accurate classification and reporting of OW and AW are not only legal requirements but also affect an employee’s eligibility and benefits under various CPF schemes, such as home loans or medical coverage. Making CPF Contributions as an Employer: Step-by-Step Guide 1.

Payroll 98

Payroll Billing 98

Accounting Tools

JULY 13, 2023

The formula is to divide total dividend payments over the course of a year on a per share basis by earnings per share for the same period. In the same time period, the company earned $2,500,000 in net income.

Financial Statements 40

Financial Statements 40

Accounting Tools

JUNE 10, 2023

For example, a company may have reported an unusually high proportion of earnings not related to its core operations, and which may therefore not be repeatable during the time period required to pay off the company's liabilities. Consequently, net after-tax operating income is a better figure to use in the numerator.

Financial Statements 40

Financial Statements Tax 40

Accounting Tools

OCTOBER 8, 2023

Horizontal analysis is the comparison of historical financial information over a series of reporting periods. A horizontal analysis can be particularly illuminating when it includes calculations of key ratios or margins, such as the current ratio , interest coverage ratio , gross margin , and/or net profit margin.

Financial Statements 40

Financial Statements Financial Analysis Accounts Payable Accounts Payable 40

Accounting Tools

JUNE 21, 2023

However, this figure is so close to the projected receipt of cash from the customer that it may make sense to eliminate all discretionary expenses for the next few months, to extend the period over which remaining cash can be stretched.

Accounts Receivable 40

Accounts Receivable Accounts Receivable Account Receivables Financial Statements 40

Accounting Tools

SEPTEMBER 21, 2023

Only allow a certain amount of usage per time period, such as one download per month, without paying extra. Related Articles Penetration Pricing Pricing Strategies Since it takes time for students to enter the workforce and be in positions to demand to use the service, this is a long-term strategy.

Accounting 40

Accounting Accounting 40

Nanonets

APRIL 24, 2024

  This article discusses the significance of bank reconciliation audits and the role of automation in streamlining the process. Continuous Monitoring : Reconciliation audits may be conducted periodically to monitor ongoing compliance and assess the effectiveness of implemented controls. Looking out for a Reconciliation Software?

Bank Reconciliation 52

Bank Reconciliation Auditing Reconciling General Ledger 52

Accounting Tools

OCTOBER 13, 2023

If so, the ratio should improve in later reporting periods. Related Articles Acid-Test Ratio Cash Coverage Ratio Cash Flow Adequacy Ratio Current Ratio Degree of Relative Liquidity Net Working Capital Ratio In this case, it has drawn down its cash reserves in anticipation of making more money in the future from its investment.

Financial Statements 40

Financial Statements Accounts Payable Accounts Payable Accounts Receivable 40

Accounting Tools

JULY 10, 2023

Your decision can have an impact on whether the company will receive coverage from analysts, the variability of the stock price, and even the company’s ability to sell stock. If analysts are following a company, they will periodically issue estimates of future results. They are noted below.

Financial Statements 40

Financial Statements Accounting Accounting 40

Accounting Tools

JUNE 14, 2023

The ratio can be a poor indicator when current liabilities cover an extended period of time. A liability due at the far end of this period still appears in the denominator, even though there is no immediate need to pay it. By definition, current liabilities include any liabilities due within the next year.

Accounts Receivable 40

Accounts Receivable Accounts Receivable Account Receivables Financial Statements 40

Cloud Accounting Podcast

APRIL 15, 2019

Here’s the coverage in Huffington Post , Business Insider , and ProPublica. 20:20 -- Here’s an update on the QuickBooks Online Advanced free upgrade period. Watch the TED Talk or read the article. Give us a review on iTunes and we’ll read it on the air. 08:43 -- As cashless stores grow, so does the backlash — this time in Miami.

CPA 40

CPA QuickBooks Tax XERO 40

Remote Quality Bookkeeping

JUNE 19, 2023

This article will explore some of the most common expenses related to running a small business and how you should categorize them when trying to get an accurate picture of the expense side of your business. Because overhead costs are recurring and consistent, they’re not as easy to change during slow periods.

Bookkeeping 52

Bookkeeping Budgeting Tax Payroll 52

Remote Quality Bookkeeping

JUNE 19, 2023

This article will explore some of the most common expenses related to running a small business and how you should categorize them when trying to get an accurate picture of the expense side of your business. Because overhead costs are recurring and consistent, they’re not as easy to change during slow periods.

Bookkeeping 52

Bookkeeping Budgeting Tax Payroll 52

Accounting Tools

JUNE 9, 2023

The cost reductions achieved through this approach tend to be relatively low, but also result in a high rate of product success, as well as a fairly short design period. Related Articles Activity Based Management Is the Cost of Goods Sold an Expense?

Cost Accounting 40

Cost Accounting Accounting Accounting 40

Accounting Tools

FEBRUARY 25, 2024

The reverse situation can also arise, where a business is not especially liquid over the short term, and yet is highly solvent when viewed over a longer period of time. Examples of Solvency Ratios Examples of solvency ratios are shown below, where we highlight the debt to equity ratio and the interest coverage ratio.

Financial Statements 74

Financial Statements Billing Budgeting Collections 74

Accounting Tools

SEPTEMBER 11, 2023

This review involves identifying the following items for a company's financial statements over a series of reporting periods. Trends Create trend lines for key items in the financial statements over multiple time periods, to see how the company is performing. Cash coverage ratio. Debt service coverage ratio. Quick ratio.

Financial Statements 40

Financial Statements Financial Analysis Accounts Receivable Accounts Receivable 40

Accounting Tools

AUGUST 5, 2023

This is more of a problem in periods when interest rates are increasing, or when the cash flows of a business are subject to a large amount of variation, or when an entity has relatively minimal cash reserves available to pay down its debt obligations. In essence, it compares cash flows to debt service payments.

Financial Statements 40

Financial Statements 40