There are two FOB considerations: FOB Destination and FOB Shipping Point. If FOB destination point is listed on the purchase contract, this means the sell...

What is the Depository and Depository Participant (DP)? A Depository is an organization which holds securities (like shares, debentures, bonds, government...

A trial balance is a worksheet with two columns, one for debits and one for credits, that ensures a company’s bookkeeping is mathematically correct. Why d...

Calculate Percentage Decrease: First, work out the difference (decrease) between the two numbers you are comparing. Next, divide the decrease by the origi...

Net income is recorded on the worksheet under the: A. credit column of the income statement and the debit column of the balance sheet. In which balance sh...

To calculate the cost per unit, add all of your fixed costs and all of your variable costs together and then divide this by the total amount of units you ...

1 The business entity concept. The business entity concept states that the business is separate from the owner(s) of the business. Therefore the accountin...

Accounting cost is the recorded cost of an activity. For example, a manager wants to know the accounting cost of a product. If this information is needed ...

List of Disadvantages of Bank Reconciliation It can create checks that clear the bank after being voided. It can issue un-cleared checks that continue not...

A write-off is an elimination of an uncollectible accounts receivable recorded on the general ledger. An accounts receivable balance represents an amount ...