The cost of business assets can be expensed each year over the life of the asset to accurately reflect its use. The expense amounts can then be used as a tax deduction, reducing the tax liability of the business. There are several steps to follow when calculating amortization for intangible assets. Since intangible assets are not easily…

Zapier is a no-code solution that lets you connect your PMS with Airbnb and thousands of popular apps. It lets you automate manual or repetitive tasks and gives you back more time to focus https://www.bookstime.com/articles/1099-vs-w2 on running your business. Let’s take a look at three great accounting tools that you can connect with Hostfully or…

LLC structures allow business owners to separate their personal finances from the company’s finances. Owners of LLCs cannot be held personally liable for debts incurred solely by the company. This resource introduces and explains basic accounting terms, principles, acronyms, and abbreviations. It was developed for students, entrepreneurs, and anyone else looking to brush up on…

Fundamentally, all liquidity ratios measure a firm’s ability to cover short-term obligations by dividing current assets by current liabilities (CL). The cash ratio looks at only the cash on hand divided by CL, while the quick ratio adds in cash equivalents (like money market holdings) as well as marketable securities and accounts receivable. The current…

Accounts receivable aging is a cash management technique used by accountants to evaluate the accounts receivable of a company and identify existing irregularities. Aging makes it easier for companies to recognize probable cases of bad debt, stay on top of outstanding invoices, and keep unpaid bills to a minimum. One of the main uses of…

Content Explore resources Welcome to Great Learning Academy! AccountingCoach, Financial Statements Where To Find Free Online Bookkeeping Courses LinkedIn Learning Full BioMary is a journalist with 14+ years of professional writing experience, her work has been published internationally by Forbes, HuffPost, Business Insider, The Points Guy, AOL, and SheKnows. They offer a suggested timeline to…

Break even analysis is a financial assessment tool used by businesses to determine the point at which total revenues equal total costs, resulting in neither profit nor loss. Accounting break even point The accounting break even point is the point at which total revenues equal total expenses. At this point, the business’s total normal balance…

Content What is the Audit Risk Model? The formula of Detection Risk – How to Calculate Detection Risk What Should Auditors do to Minimize Audit Risks? Understanding the Risk Environment Audit Risk Model: Expert Tips to Reduce Accounting Risk The detection risk of audit evidence for an assertion failing to detect material misstatements is 5%.…

Content IASB publishes proposed IFRS Taxonomy update How to Calculate Straight-Line Depreciation Recoverability of the carrying amount My Account Thus, the amount of accumulated depreciation reported on the balance sheet represents the sum of the individual depreciation charges for each asset that have been recorded in the subsidiary accounts of the Bank. The declining balance…

Content Accumulated Depreciation- Definition, Types, Examples, And More.- Recommended readings Advantages of Using a Separate Provision for Depreciation Account Impact of Accelerated Depreciation on Accumulated Depreciation Where does accumulated depreciation go on the balance sheet? What Are Depreciation Expenses? Depreciation Expense as an Asset Simultaneously, each year, the contra asset account or accumulated depreciation will…