Professional literature of the accounting for marketable investments in debt securities isn’t easy to find. The only principle guidance that could be found, so far, …

Sales incentives, future product returns and product warranties are classified as current liabilities. Unlike accounts payable where both payee and amount are known, three of …

Before discussing how cost accountants setup target costing; what is the so-called target costing? You may ask. Let me tell you in short words: target …

Cash flows statement is an important report that both management and external readers want to have a look to determine the true state of a …

A company’s annual financial plan is called a budget. In short words; a budget is a set of pro-forma statements about the company’s finances and …

Companies acquire their fixed asset in some different ways. Rather than simply purchase their fixed asset, some companies may choose to lease theirs. You record …

While capital and repair expenditures have been long recognized in both the accounting and tax area, deciding whether to capitalize or expense fixed asset-related expenditures …

The increase in the amount of fair value measurements, in financial reporting, creates a challenge for auditor. Auditing the fair value measurements is complex since …

Since couple of decades ago, balance sheet started to showing a strange snippet on its Equity section called Accumulated Other Comprehensive Income. The snippet has …

One among other accounting issues, which is inevitable, in the inventory area is having future value of inventory that is in doubt (e.g. inventory items …

While management of a company may consider whether using periodic or perpetual inventory system—in the aim of getting inventory system that fits into their operation, …

Considering whether using perpetual or periodic inventory systems, is a first yet fundamental to take by a company before attempting to set up its inventory …

Knowing how good you manage your accounts receivable is critical in managing the whole company’s financial. It could be meant: how good you pay your …

Identifying problems in a financial statements and figuring out how to minimize it in the first place, is a vital role the accounting people should …

Financial statements is main product of the accounting process. Understanding the logics behind a financial statements helps the management, share holders, investors, and other interested …

After opening e-file for business last week, today IRS has successfully opened e-file system—which is free for individual. The IRS, since 2003, has actually offered …

Performance assessment is crucial to management of any companies who wants to make sure that its operation is under control. To be able to go …

In the past, manufacturing operations were mainly labor paced, and direct costs comprised the majority of product costs. Since the early 20th century, automation has …