Accounting

Accountants and bookkeepers, responsible for gathering financial and economic information and for tracking daily financial transactions, play a huge part in helping business and organizations plan and control their own finances. Financial professionals also collect and distribute data, compiled from their own day-to-day operations and research, providing parties such as investors, government officials, and private individuals with helpful business information. This section offers a quick and easy way for people to learn about the accounting industry and profession, for clients to locate an accounting firm or independent consultant, and for professionals to find the right job. The articles included herein provide information on the basic accounting principles, concepts, definitions, accounting terms and terminology, accounting ethics and principles. Read about bookkeeping, history of accounting and articles on accounting education as well as accountant jobs and careers in financial and managerial accounting.
  • Hybrid Method of Accounting
    With the steady rise in the volume and sizes of businesses, conventional accounting evolved into double entry systems, subsequently cost accounting and managerial accounting were also introduced. Today, the world of finance, is yet again on the cusp of completing the next step of evolving from current system of financial accounting to hybrid accounting.
  • Cost Method of Accounting for Investments
    The cost method of accounting for investments is used to determine the profit and loss of any investment. Apart from that, this method is also used to compute the return on investment of a certain investment. To know more about this approach of accounting, read on...
  • Cash Method of Accounting
    The cash method of accounting is a well-known and widely used technique which has some advantages and disadvantages. In this article, we shall know about this accounting technique in detail.
  • Accrual Method of Accounting
    How does the accrual method of accounting expenses work? This might be a question before many students of accounting and finance. In this article, I shall present to you the accrual method of accounting, its rules and procedures which will help you to understand this concept better.
  • Job Costing Vs Process Costing
    If you are confused about what exactly is the difference between job costing and process costing, this article will help in clearing out the concept. Here I compare the two processes.
  • How to Calculate Net Income after Taxes
    If you are looking for clear guidelines explaining the calculation of net income after taxes, this article will definitely be a helpful read. Along with an explanation of the procedure, an online calculator is presented, which directly computes net income after taxes.
  • Gross Sales
    There are various metrics through which an organization can gauge its efficiency. The total sales of a company are measured by calculating its gross sales. Let us know more about the topic.
  • Liability Vs. Expense
    In the following article the comparison of liability vs. expense has been given by enlisting certain the distinguishing points in liability and expense, read on.
  • Audit Procedures for Cash
    Audit procedures for cash ensure transparency and accountability in an organization. Let us know more about it...
  • Percentage of Completion Method
    An accounting method, percentage of completion is used to evaluate the cost of ongoing long term projects by computing the cost of the project in the current fiscal year. This method to ascertain cost has a very effective formula for all construction projects.
  • Accounts Receivables Turnover Ratio
    This ratio is an indication of the efficiency of a company in collecting credit sales. While computing this ratio only credit sale is included. The higher the ratio means greater the efficiency which is a desirable aspect for any company.
  • What is Cost Accounting
    When one indulges in business, cost accounting is the most essential component that systematically evaluates the costs that the organization incurs. The dimensions of cost accounting, thus, find complete coverage in this article.
  • Objectives of Accounting
    In this article, we will take a brief look at what are the primary objectives of accounting and try to understand the accounting objectives better.
  • Unearned Revenue
    What is unearned revenue or deferred revenue? How is the liability associated with it calculated? Read to find all the answers...
  • What is GAAP
    GAAP comes into picture when it comes to recording one's transactions. Read on to get all your answers regarding GAAP.
  • Revenue Recognition Principle
    Coping with accountancy and its various principles? Well, as far as the revenue recognition principle is concerned, help is here!
  • Cost Sheet Template
    The objective of any cost accounting, costing and cost sheet is simple, derive the cost of goods based upon the cost that has been incurred to manufacture these goods. Here, a cost sheet template has been provided that will help you draft one for yourself.
  • Intangible Assets: Examples of Intangible Assets
    Assets are classified into two types called tangible and intangible. Read on to know more about the latter.
  • Accrued Liabilities
    Being aware of the concept of accrued liabilities under GAAP is essential for all accountants and students of management and accounting. Learn more in this article.
  • Cost Recovery Method
    This article aims at explaining to you the cost recovery method in accounting along with an example. So, continue reading to know more...
  • Generally Accepted Auditing Standards
    Read this article to find out all about the generally accepted auditing standards and their impact on the profession. Have a look...
  • Accounting Conventions
    A thorough knowledge of accounting conventions and practices is very essential for all accountants, management students as well as businessmen.
  • Profit Margin Ratio
    This article will tell you all about the profit margin ratio definition and what it indicates for a business. While the turnover is an important consideration, it is the profit margin that ultimately denotes the financial health of a business.
  • What is Contribution Margin
    Knowing what is contribution margin and how to find the contribution margin ratio is of great importance for all business owners. So, refer to the content on calculating contribution margin ratio in this article to understand things better...
  • Deferred Revenue
    Understanding how deferred revenue accounting is done is absolutely essential for all businessmen as well as students of accounting. Continue reading to know more.
  • Accrued Expenses in Accounting
    In the following article, the financial concept of accrued expenses has been discussed. To know more about accrued expenses, read on.
  • Prepaid Expenses in Accounting
    The concept of prepaid expenses is occasionally used in financial, cost and managerial accounting policies. To know more about financial expenses and their accounting treatments, read on.
  • Generally Accepted Accounting Principles
    After you've familiarized yourself with the various accounting concepts and conventions, you would probably want to go through the Generally Accepted Accounting Principles or GAAP. The following article is an attempt to convey the required information in a simplified manner.
  • Accounts Payable Procedures
    Accounts and finance departments often deal with a type of liability known as accounts payable. In the following article, a brief elaboration on some of the general procedures for listing accounts payable is given.
  • What is the Going Concern Principle
    What exactly is the going concern concept in accounting? How does it affect financial projections? Read to know all about it...
  • Accrued Revenue
    What is accrued revenue? How is it calculated? Read to find all the answers. . .
  • Owners' Equity
    It is important for all businessmen to be aware of what owners' equity is and also how it is calculated. In this article, we explain the concept along with the formula used to calculate the same.
  • Tangible Assets
    The concept of tangible assets is extremely easy to understand. Find out how, in the article below.
  • What is Accounts Payable
    This article aims at explaining to you what is accounts payable and accounts receivable and the accounts payable job description in detail. So, continue reading to know more...
  • Accounting Cycle Steps
    Understanding the accounting cycle steps is of prime importance to students of accounting, as well as those working as accountants in different firms. So, go through this article to know about the steps in the accounting cycle.
  • Debit Vs. Credit
    The world of commerce revolves around the terms debit and credit. Here, a small comparison between credit and debit along with their differences have been explained. To know more, read on.
  • What Is Managerial Accounting?
    Accountancy is a pretty vast domain, and has much more to it than just arithmetic calculations. What is managerial accounting? How is it different from financial accounting? Let's find out!
  • How to Prepare Cost Sheet
    How to prepare cost sheet? What are the elements of a cost sheet? These might be the questions in the minds of many businessmen who have their own factories. So, continue reading this article to know in detail how do you prepare a cost sheet.
  • Cost Accounting Vs. Managerial Accounting
    In the following paragraphs, a brief yet comprehensive elaboration regarding cost accounting vs. managerial accounting has been given. To know more about the difference between cost and managerial accounting, read on.
  • Cost Accounting Vs. Financial Accounting
    There are different accounting techniques used by business entities and organizations that track and record all transactions of that entity. The two techniques,financial accounting and cost accounting, which shall be compared here are synchronous to each other yet targeted for different interested parties. The concept and some technical factors that differentiate cost accounting and financial accounting has been provided.
  • Gross Vs. Net Profit
    In the following article, some important distinguishing points between gross and net profit' have been discussed. The convention of calculating gross and net profit is very common and is widely followed in the business world. To know more, read on.
  • Types of Accounting
    Learning about the types of accounting will help you get fundamental knowledge about the working of various sectors in the financial management field...
  • Matching Principle
    Matching principle in accounting helps in linking revenue earned, to the associated costs incurred. The following article, on matching principle in accounting, will help explain this accounting principle in simple words.
  • Economic Profit
    The aim of this article is to explain to you the concept of economic profit and also the difference between this kind of profit as compared to accounting profit. So, keep reading to know more...
  • Accounting Terms Explained
    Accounting deals with the recording of transactions of an organization. The accounting terms explained below are the most frequently used terms in accounting and will help you understand the subject of accounting better.
  • Financial Accounting vs Managerial Accounting
    What is the difference between financial accounting and management accounting? How are both these types of accounting important? To know the answers to these questions, read the article given below.
  • What Is An Accounting Entity
    An accounting entity is a particular business enterprise, which has a separate entity (identity) from the owners and managers who are a part of the big organization. Scroll down to know more about the accounting entity.
  • Accounting Process
    Accounting is used for quantitative information of finances. Read on to find out.
  • Accounting Ethics
    Accounting is an integral part of our business and finance world. However there are some accounting ethics to be kept in mind for all financial transactions made. It is quite important to follow these paradigms to run a profitable business.
  • Accounting Profit Formula
    What is accounting profit? How is accounting profit formula calculated? Through this article, let us discuss more about this financial concept...
  • Why is Accounting Important
    We have all heard about accounting, but have you ever wondered why is accounting important? Here we give you the reasons of why is accounting so important not only for a business but also in our day-to-day lives. Read on...
  • Accounting Principles and Concepts
    What are accounting principles and concepts? The accounting principles are rules that apply the practices of accounting and give guidelines to deal with complex transactions. These accounting principles are then divided into accounting concepts and conventions. Let's understand these accounting principles and concepts in detail.
  • Job Cost Sheet
    Do you need to make a job cost sheet in order to keep track of the costs incurred in providing services to customers? If yes, then in this article, you will learn how to draft a cost sheet with the help of a template.
  • Cost Benefit Analysis Example
    What is cost benefit analysis? How does it play a key role in business management and development? If these are the questions on your mind, then the cost benefit analysis example and the detailed explanation mentioned in this article will be useful for you. So, keep reading to know more...
  • Net Sales vs Gross Sales
    Before starting a company, you should know the difference between net sales vs gross sales. Only then will you understand how much profit your company is earning, or whether it's going through a loss. Read on, if you want to know more about net sales and gross sales.
  • Importance of Accounting
    The importance of accounting and its scope has increased, as accountancy has not just remained a skill of keeping records. Deep analysis, compliance, rectification and lawfulness have become some new integrals of accounting.
  • Multi-Step Income Statement
    If you are planning to invest in the stock market, then you need to understand basic financial terminologies, such as multi-step and single-step income statements, balance sheet, statement of cash flow, etc. This will help you make some smart investments.
  • Benefits of Accounting Outsourcing
    One of the most apparent benefits of accounting outsourcing is that operating costs of the company are reduced substantially. This article focuses on the advantages that this kind of outsourcing has...
  • Accounts Receivable Aging Report
    In the world of business, an accounts receivable aging report is a very important statement that is used to record data that is related to the debtors of a business. Here, we have provided a sample aging report that will help you draft one for yourself.
  • Horizontal Analysis
    Horizontal analysis is one of the foremost techniques in financial management and analysis. It is very useful in calculating the growth of am item over a timeline that the analyst chooses.
  • Vertical Analysis
    Vertical analysis is an integral part while carrying out the overall financial analysis of any firm. Read the article to learn about vertical analysis and also how to do one.
  • Trade Discount
    They are a very common marketing ploy meant to increase the popularity and sales of a product. Here is how you can use a trade discount to your advantage.
  • Purchase Order Sample
    Want to know how to draft a purchase order? Learn how to buy an order sample for yourself, with the help of this article.
  • Billing Statement Template
    Looking for a billing statement template? Here's an article on how to draw up a template for billing statement.
  • Expense Report Template
    Regardless of your expenses, the way you write your expense report is important. A well written formal note always impresses others and can go a long way in helping you secure a better position for yourself.
  • Income Statement Format
    How to prepare an income statement format which is easy to understand and update? Here's an article which will teach you the correct income statement format.
  • Tangible Fixed Assets
    The art and science of financial accountancy is difficult to master, and one needs to have complete and accurate knowledge of every concept of accountancy. Tangible fixed assets is a term that is commonly used by people studying finance, economics and accountancy.
  • Income Statement Template
    What is the best way of making an easy-to understand and easy-to-update income statement? Since it is a formal affair, you can pick out an example of your choice and go along with it.
  • Cost Control Methods
    Business managers throughout the world fight a never-ending battle against rising costs. Cost control methods are constantly being derived, developed, deployed and discarded, in order to reduce the cost of all operations.
  • Internal Controls in Accounting
    Accounting is a very crucial field that demands the compliance of many standards and statutory requirements. Internal controls in accounting are not only a statutory requirement, but are also an instrument of finance management.
  • Expense Report Sample
    There are several types of financial statements that are recorded by the finance and accounts departments, to record and verify expenditures. An expense report sample is provided here to help you draft one for yourself.
  • Cost Control Management
    Here's an article which comprehensively talks about cost control management and the need for it in businesses today.
  • Purpose of Accounting
    Are you wondering why companies invest so much time and money in maintaining their accounts? If yes, read this article for information on the purpose of accounting.
  • Economic Profit Vs. Accounting Profit
    A lot of people get confused about the difference between economic profit and accounting profit. If you thought they are one and the same, think again. They are two ways to tackle one situation, so depending on your way of thinking, one of them will be better than the other.
  • Equity Method of Accounting
    If you wish to know what is the equity method of accounting for investments in common stock, you have come to the right place. This article will give you all the details on the definition, equity accounting for joint ventures, and the process of consolidation of accounts under this method of accounting.
  • Cost Method of Accounting
    This article is intended to explain the concept and usage of the cost method of accounting without getting into the nitty-gritty of its types, like full cost method, average cost method, etc. The following article gives an overview of the cost method of accounting for investments.
  • Bachelor's Degree in Accounting
    Want to pursue a degree in accounting? Read on to know more about Bachelor's degree in Accounting and its importance in the world of business and finance.
  • Comptroller Job Description
    This article speaks about the comptroller job description, a career which is ' high in demand', because of the decent salary range and excellent career outlook.
  • Accounting Terms - Glossary of Accounting Terms and Definitions
    Bookkeeping and Accountancy are the subjects that deal with maintaining a record of all the transactions that a business/individual makes. It helps to keep a track of the financial position of the business and forms the basis for good financial planning. Here is a glossary of the most commonly used accounting terms.
  • Basic Accounting Concepts and Principles
    Accounting refers to the systematic recording of business transactions and preparation of statements relating to assets, liabilities and functioning results of a business. Accounting has to follow certain fundamental rules that form the basic accounting concepts and principles.
  • Types of Accounting Careers
    If you are good with numbers, then a career in accounting must be explored. Let's take a look at some of the different types of careers in accounting.
  • An Introduction to Financial Accounting
    To understand the basics and other concepts related to financial accounting, read on...
  • What is Forensic Accounting?
    Auditing and accounting is an unlikely combination - but that's what forensic accounting is all about! Forensic essentially means 'anything that is suitable to be used in a court of law' and this is exactly what forensic accountants are meant to do. This exciting field deals with providing and accounting analysis of a case that is suitable to be used in any court of law...
  • U.S. GAAP - Generally Accepted Accounting Principles
    U.S. GAAP is the standard platform of guidelines regarding rules for financial accounting that're needed in the preparation of financial statements. Although quite flexible in its rules, this framework is based upon certain constraints and principles to address specific necessities.
  • Online Accounting Degree Program
    In this article, we will take a look at the prospects of enrolling for an online accounting program along with some tips on the same.