After-Tax Income: Explanation with Examples

Both individuals and businesses are required to pay taxes on their earnings. The amount of taxes each is required to pay is calculated based on the income they receive. In most cases, a tax rate schedule is used to calculate the amount of tax due fro... Read more

Closing Entries Explained

Closing entries are something a bookkeeper typically does once the month is over and every time the accounting period comes to an end. It is a mandatory procedure in accounting without which a bookkeeper cannot start recording entries for the next pe... Read more

Sales Revenue: Meaning and Calculation

Revenue is the main source of income for any entrepreneur. The proceeds from the sale of products complete the production cycle of the entire enterprise. It proves the viability of an entity and completes the cash flow of any business venture.Sales r... Read more

Explanation of Main Types of Expenses

Expenses are a monetary estimate of the cost of material, labor, financial, natural, informational, and other types of resources spent (planned/budgeted) on making and selling products for a certain period of time.Accounting of expenses by type and p... Read more

What is BooksTime

Introduction:Advantages of having BooksTime as a business partnerBooksTime ServicesOnline ServicesBookkeeping for Small BusinessesBooksTime Client FeedbackIs it Legitimate?BooksTime: ConclusionBooksTime is an online bookkeeping firm that provides acc... Read more

Sales Tax: how to calculate?

What Is Sales Tax?In simple words, sales tax is a little extra the buyers pay when they purchase something in the store. If your item costs $1, the sales tax makes the price go higher up to $1.09 or $1.04 or something along these lines depending on w... Read more

Contribution Margin Ratio

OverviewThe goal of most businesses is to make a profit. However, it often happens so that the company has great sales and the sales figure is impressive, but when you look down the Income Statement, you realize that most of this money earned went to... Read more

Accounting Concept: Going Concern

OverviewThe going concern principle plays one of the key roles in accounting and auditing. The term assumption is closely related to this concept. Its idea is that when forming the accounting and reporting methodology, we do not take into account the... Read more