Category: Accounting

Accounting is a vital component of any business, providing financial information and insights necessary for informed decision-making. Our expert tips, advice, and resources provide you with a solid foundation of accounting knowledge, from basic principles to advanced concepts. Whether you’re an accounting professional or a small business owner, our comprehensive resources cover a wide range of accounting-related topics to help you succeed in your financial endeavors.

What is Accounting? An Introduction.

Learn the core principles, definition, and purpose of accounting, including its role as the language of business, the fundamental accounting equation, and the distinction between financial and managerial accounting. What is Accounting? What is Accounting? At its most basic level, accounting is the process of recording financial transactions pertaining to a business. It involves summarizing, … Continue reading What is Accounting? An Introduction.

Reading an Annual Report

Publicly traded companies are required by law to publish an annual report to their shareholders. Many companies publish quarterly reports as well. Though there is no government mandated format that an annual report should take or the exact information it should contain, custom has developed some standards, and some professional accounting organizations have required compliance … Continue reading Reading an Annual Report

Financial Audits – Basic Tests

Financial audits are intended to provide some assurance to the public that a company’s financial statements are presented fairly and accurately, in accordance with the established or stated criteria.  The public may include the shareholders of the company, debtors such as bondholders, banks or other financial institutions and some government entities. In general, a financial … Continue reading Financial Audits – Basic Tests

Accounting Relationship: Linking the Income Statement and Balance Sheet

When communicating financial information to readers of the information, standard formats for financial statements have been established. The two most widely used statements are the Balance Sheet and Income Statement. Here we will learn how the Income Statement and Balance Sheet relate. THE INCOME STATEMENT AND BALANCE SHEET Income Statement The income statement communicates the … Continue reading Accounting Relationship: Linking the Income Statement and Balance Sheet