Bookkeeping

For most shareholders, it assures that the stock’s value won’t fall below this amount. The par value of a bond is its face value, i.e. the principal the issuer is obligated to repay at the end of the bond’s term. The coupon rate earned by a bondholder is calculated as a percentage of the face […]

If you are creating inventory for sale at a later time, both direct costs and manufacturing overhead costs should be assigned to the inventory until it is sold. If so, you’ll want to include the cost of your direct labor plus the ‘burden’ accompanying that direct labor. While direct materials and labor account for the […]

When you do this calculation and find that the manufacturing overhead rate is low, that means you’re running your business efficiently. The higher the percentage, the more likely you’re dealing with a lagging accounting basic production process. An overhead cost is a recurring expense necessary to support a business and allow it to continue operating, […]

Finally the double entry posting would be the total from the sales day book and the sales ledger. To reconcile your Creditors Control account, you check that the balance of the account matches the total outstanding value on your supplier accounts, as shown on the Aged Creditors Report. You can do this for all your […]

Bookkeepers enter information from each transaction and compute figures. Some companies choose to outsource all their accounting needs to a third party. Enter your loan information to get an estimated breakdown of how much you’ll pay over the lifetime of your loan. Goodwill is a very complicated concept that typically applies in acquisitions. It accounts […]

Fixed income is a term often used to describe bonds, since your investment earns fixed payments over the life of the bond. Bonds tend to be less volatile than stocks, and are typically recommended to make up at least some portion of a diversified portfolio. Because bond prices vary inversely with interest rates, they tend to […]