...Liabilities are also divided in to two parts. Current and long term; current liabilities are the obligations that mature within a year, and long term ones mature after one year. Owner's equity c …
...Let's discuss a single transaction to clarify the impact it has on the income statement and balance sheet to summarize the article. Let's say ABC auto dealership sold a car for $50,000.00. Price th …
...Adjusting entries are necessary to record even though they don't have an exact date attached to them. Things like depreciation, prepaid insurance premiums and bad debts (accounts your business will …
...Corporations may also choose to issue stock dividends if their cash is unavailable or needed elsewhere. Stock dividends give a shareholder a larger claim in the company. Another option is to issue …
...The idea is to create a detailed report of cash activity. It is a "cash log" for the fiscal period that shows in a great detail what happened in a cash account. One thing that you have to rememb …
