October 26, 2023

Absorption Costing vs Variable Costing: What’s the Difference?

By tracking these costs relative to revenue, enterprises can gauge how much profit they generate from each sale. Understanding these distinctions enables business owners to make better financial decisions and optimize cost management strategies for enhanced profitability. Variable cost is a recurring cost that varies depending on the volume of production or services rendered by…

Read More
June 27, 2023

Free Accounting Software for Small Businesses

Each Zoho product integrates easily with the rest, which means that along with accounting, you can use Zoho for project management, inventory management, and customer relationship management (CRM)—just for a start. While FreshBooks has more invoice-friendly features than many accounting companies, its cheapest plan isn’t a particularly robust accounting solution. The plan lacks true double-entry…

Read More
April 24, 2023

What is the difference between a debit and a debit balance?

However, your friend now has a $1,000 equity stake in your business. With the loan in place, you then debit your cash account by $1,000 to make the purchase. We post such transactions on the left-hand https://bookkeeping-reviews.com/ side of the account. He discovered the concept of a double-entry system of book-keeping. As per this system,…

Read More
April 20, 2023

Why are the dates on a financial statement important

It might seem overwhelming at first, but getting a handle on everything early will set you up for success in the future. Today, we’ll go over what a balance sheet is and how to master it to keep accurate financial records. For instance, a company with strong assets and steady growth in equity may be…

Read More
April 19, 2023

What Is Turnover in Business, and Why Is It Important?

The higher the asset turnover ratio, the better the company is performing, since higher ratios imply that the company is generating more revenue per dollar of assets. The asset turnover ratio uses the value of a company’s assets in the denominator of the formula. To determine the value of a company’s assets, the average value…

Read More