In investment terms, assessing accounting liquidity means comparing liquid assets to current liabilities, or financial obligations that come due within one year. Creditors and investors often use liquidity ratios to gauge how well a business is performing….
The revenues could be stated in dollars (or other currencies), in units, hours of services provided, etc. Assume a company has $1 million in fixed costs and a gross margin of 37%. In this breakeven…
AR automation can help streamline collections by automating multi-channel reminders, scheduling them, and logging communications. Automation can also streamline the payment process by offering customers convenient payment portals that accept various payment options. The collections…
Treasury Stock is also the title of a general ledger account that will have a debit balance equal to the cost of the repurchased shares being held by the corporation. The corporation’s cost of treasury…
It’s rooted in AI reasoning and natural-language understanding and generation, which means it can handle sophisticated questions about finance management Kasisto’s platform has been used by banking institutions like the UAE-based digital bank Liv., DBS…
An item’s transfer price is the sales price charged for a good or service in a transaction between two entities under common ownership. Its standard cost, on the other hand, is simply the anticipated cost…
You can create an unlimited number of invoices and estimates, as well as tracking your expenses, managing business contacts — you can also manage up to 1,099 contractors. You can bring live bank feeds into…
Capital and revenue expenditures are two different types of business expenditures that we often find in financial accounting and reporting. This article is about capital expenditures (CAPEX), the income statement, and why is CAPEX not…
This negative variance would be seen as a less serious situation if in fact revenues were up 15 percent compared to the same period last year. A company’s finance staff tries to determine the causes…
Additionally, if you want to see how different business areas are performing, you can add tracking categories to do just that. Moreover, the benefits of cloud-based accounting software such as AP automation are encouraging more…