Accounting Earnings
Jennifer edwards Accounting earnings is the actual amount of money that is earned by a company in a specific financial year. These earnings are the earnings that is actually reported on an…
API Accountants for Public Interest
As the name indicates Accountants for Public Interest work free of cost just for the benefits of the public. API is an organization with a large number of accountants that…
Interest Coverage Ratio
It is the ratio between the EBIT and the total interest paid by the company. The ratio shows the total interest expense of the company that is subtracted from its…
Deferred Billing
Deferred billing is a method of billing in which buyers are do not charged with the interest even if they pay later than the due date of the purchase. The…
Controlled Disbursement
Controlled disbursement is a cash management technique usually employed in corporate businesses. With the help of this technique the flow of checks between the bank and the business are controlled…
Long Term Debt to Total Assets Ratio
It is a tool to analyze the financial condition of a company. This is a ratio of that calculates the percentage of the assets of the business that are financed…
LIFO Liquidation
The term LIFO liquidation is associated with the accounting of the inventory of a business. As we know LIFO is a method of managing inventory that stands for Last In…
Key Ratio
In order to get a clear picture of the current financial position of a company a tool that is used is called key ratio. It is a ratio that gives…
Breakage
Breakage is basically a topic that belongs to the category of Finance however sometimes firms get involved in breakage that have an effect on their revenues so we are going…
Bond Ratio
A bond ratio is one of the most important ratios in accounting and express the leverage associated with the issuer of the bond. In other words bond ratio can…
Audit Cycle in Accounting
It is a process in accounting that is employed by auditors in order to analyze the financial performance and review the financial information of the company. The audit cycle is…
What are Organic Sales?
The term organic sales can make you confused by making you think it is something related to sales of products of the company. However this is not the case as…
Operating Earnings Explained
Operating earnings can be defined as the amount of profit earned by a company after subtracting all the expenses of the company from its total revenue. Expenses that affect operating…
What is Operating Cash Flow?
The cash or the money that is produced by the general operations of a company in a given financial period is called operating cash flow. With the help of operating…
Inventory Accounting
The branch or the subset of accounting that deals with the recording, maintaining and valuation of the assets stored in inventory is called inventory accounting. Inventory accounting maintains and value…
Impaired Capital Explained
Impaired capital is the name given to the capital that actually worth less as compared to its worth stated in a company’s financial accounts. The situation of the occurrences of…
Cookie Jar Accounting Explained
This is an accounting practice that is used to support a business in bad times. Cookie jar accounting is an approach where reserves or funds stored from good years are…
Accrued Dividend
As we know dividend is the amount of profit that is paid to the shareholders of a business or a company. Sometimes dividend is declared but not paid immediately to…