Category: Bookkeeping

Accurately interpreting these conditions is crucial to ensuring financial statements reflect the organization’s true position. Various requirements set forth by the IRS, federal and state laws, grant funders, and organizational bylaws determine the frequency of nonprofit audits. For small nonprofits, financial audits are more than a regulatory requirement—they’re a cornerstone for trust and operational integrity.…

Methods like straight-line, declining balance, and units of production exist. Each time a company charges depreciation as an expense on its income statement, it increases accumulated depreciation by the same amount for that period. As a result, a company’s accumulated depreciation increases over time, as depreciation continues to be charged against the company’s assets. Accumulated…

In effect, a company with low operating leverage can be at an advantage during economic downturns or periods of underperformance. Careful planning and sharing is important because it remains consistent regardless of production volume. We now have all the information necessary to determine a firm’s costs. The long run is the period of time during…

The general journal is part of the accounting record keeping system. When an event occurs that must be recorded, it is called a transaction, and may be recorded in a specialty journal or in the general journal. There are four specialty journals, which are so named because specific types of routine transactions are recorded in…

Full charge bookkeepers, on the other hand, are able to analyze financial statements, offer consulting services, and do some internal auditing and tax preparation. However, as they are not certified public accountants, the company would often need to consult a certified public accountant for external audits and tax returns. A full charge bookkeeper with certification…

Studying and understanding the underlying 6 best salon accounting software options in 2024 factors contributing to material quantity variances is crucial. These factors can encompass elements such as material wastage, inconsistencies in production processes, shifts in material quality, and discrepancies in inventory management practices. Unearthing the root causes allows them to make informed decisions, initiate…

Both services do offer an app marketplace, for both in-house mobile apps and integrations or extensions offered by third-party services. Xero offers more integrations overall, but both are very comprehensive. While Xero’s $13 Early plan is far cheaper than QuickBooks’ $30 Simple Start plan, it’s also very limited due to the caps on invoices and…

Learn more about FinOptimal’s managed accounting services to see how you can incorporate similar offerings. The more value you offer, the more indispensable you become to your clients. The world of QuickBooks is constantly evolving, with new features and updates rolling out regularly. As a ProAdvisor, staying informed is crucial for providing top-notch service to…

You could also take the unadjusted trial balance and simply add the adjustments to the accounts that have been changed. In many ways this is faster for smaller companies because very few accounts will need to be altered. Both ways are useful depending on the site of the company and chart of accounts being used.…

The current ratio measures the capacity of a company to pay its short-term obligations in a year or less. Analysts and investors compare the current assets of a company to its current liabilities. This tells us that Company A appears to be in better short-term financial health than Company B since its quick assets can…