Bookkeeping

Fair value hedges are used to mitigate the risk of changes in the fair value of an asset or liability. This type of hedge is often used to protect against interest rate fluctuations or changes in commodity prices. One notable case study involves a large utility company that uses interest rate swaps to hedge against […]

Which inventory costing method you choose will significantly impact your financial statements and tax obligations. Businesses can choose from several inventory costing methods, the most common being first-in-first-out (FIFO). Other methods include last-in-first-out (LIFO), weighted average cost, and the specific identification method. You may see an in-house accountant five or more days a week if […]

You’ll want to write it in letters that are large enough for anyone to read, and you’ll want to write in a large, thick pen, if possible. When I first learned about voiding a check from my parents as I needed to set up my direct deposit from my first job, I was a bit […]

Prepaid expenses involve advance payments for future costs, while deferred expenses are costs incurred but recognized as expenses in future periods. Implementing effective monitoring strategies and regularly reevaluating prepaid expenses helps businesses stay proactive and agile. Companies can closely monitor these expenses by identifying discrepancies, potential overpayments, or underutilized resources. Monitoring and reevaluating this category […]

It can reverse-split its stock to keep its head above water, artificially increasing its share price. It also may coincide with the conversion of stock options awarded to company outsiders into stock shares. The weighted average number of shares is determined by taking the number of outstanding shares and multiplying it by the percentage of […]

The AI algorithm continuously learns through a feedback loop which, in turn, reduces false anomalies. We empower accounting teams to work more efficiently, accurately, and collaboratively, enabling them to add greater value to their organizations’ accounting processes. Let’s consider an example to understand how a business uses the direct write-off method to account for bad […]

And the benefit of working with an online service means that you can store your data securely in the cloud, and access your financial info from anywhere, any time. You can get in touch with professional bookkeepers for virtual bookkeeping through an online account. The virtual bookkeeper downloads your expenses through your online banking records […]

However, they may also include the cost of supplies that are directly used in production process, and any other direct expenses that don’t fall under direct materials and direct labor categories. It accounting is the direct labor plus any manufacturing overheads needed to convert raw materials into a finished product. By calculating the conversion cost […]