Financial

Income Statement and Cash Flow Statement

Income Statement and Cash Flow Statement

Categories: Financial

Straight Line Depreciation

Straight Line Depreciation

The simplest method of depreciating capital assets or fixed assets is known as straight line depreciation.  Before we discuss straight line depreciation, let’s briefly review why depreciation is used in accounting.  

Categories: Financial

Operating Income

Operating Income

In this article, we will clear up the confusion many have regarding an accounting term known as operating income.  We will discuss what operating income is and is not from an accounting point of view.  In addition, you will learn which financial statement is needed in order to determine operating income.   The article continues on with a definition of operating income.  Finally, you will discover a number of operating income examples.  Let’s now begin our discussion on operating income.

Categories: Financial

Types of Revenue

Types of Revenue

The types of revenue a business develops in their chart of accounts will depend upon the actual activities performed or carried out by the company.  Retail businesses generally have different types of revenue accounts compared to service providers.  Similarly, a manufacturing company, in most cases, will have different types of revenue accounts relative to a retailer.

Categories: Financial

Types of Revenue 2

Types of Revenue 2:

Below continues with our listing of over 400 Types of Revenue.  The remaining types of revenue can be accessed at the bottom of this article.

Categories: Financial

Types of Revenue 3

Types of Revenue 3:

Below continues with our listing of over 400 Types of Revenue.  The remaining types of revenue can be accessed at the bottom of this article.

Categories: Financial

Types of Revenue 4

Types of Revenue 4:

Below continues with our listing of over 400 Types of Revenue.  The remaining types of revenue can be accessed at the bottom of this article.

Categories: Financial

Quick Ratio

Quick Ratio:

In this article, you will discover what the Quick Ratio is, why the Quick Ratio is important, the purpose of the quick ratio, the meaning of the Quick Ratio, examples of Quick Ratio, and sample quick ratios.

The Quick Ratio, also referred to the acid test ratio, is an important ratio which helps business owners, entrepreneurs, managers, and investors determine the company’s ability to pay its short term debt without relying on the sale of inventory.

Categories: Financial

Contribution Margin Ratio

Contribution Margin Ratio

In this article, you will discover the items required for the Contribution Margin Ratio, also referred to as the contribution rate.    

Categories: Financial

Depreciation and Depreciation Expense

Depreciation and Depreciation Expense

Below provides a discussion on the most popular questions relating to depreciation and depreciation expense. The following depreciation expense questions are discussed in this article.

“What is depreciation and depreciation expense”
“Why is depreciation charged”
“How is depreciation expense calculated”
“What are the deprecation methods”
“Is depreciation a fixed cost”
“Is depreciation an asset or liability”
“Is depreciation expense an operating expense”

Categories: Financial
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